New artificial intelligence research from Apple shows AI reasoning models may not be "thinking" so well after all.

Beyond the reported performance improvements, OpenAI announced a substantial price reduction for developers. O3-pro costs $20 per million input tokens and $80 per million output tokens in the API, making it 87 percent cheaper than o1-pro. The company also reduced the price of the standard o3 model by 80 percent.

Advanced AI reasoning models suffer from “complete accuracy collapse” when asked to solve complex puzzles and problems, raising concerns about their "fundamental limitations”, according to researchers at Apple.

The paper also criticised current model efficiency, reporting that reasoning systems expended unnecessary computing effort on simpler problems and consistently failed on more complex ones, even when given algorithms that should have led to the correct solution.

Researchers at Apple have released a damning paper that throws cold water on the "reasoning" capabilities of modern AIs.

Attorneys and judges querying AI for legal interpretation must be wary that consistent answers do not necessarily speak to consensus or correctness, just as inconsistent answers do not necessarily speak to disagreement or inaccuracy.

While Magistral puts Mistral in closer competition with well-known reasoning AI models, there are still doubts across the industry about how well current LLMs can actually "reason"