OpenAI pausing some model work over safety concerns

Replit, a coding company, introduced Free Mode today, a feature powered by OpenAI's GPT-5.6 Luna model. This collaboration, exclusive to Fortune, marks the beginning of an enhanced partnership between the two tech giants, unveiling several future products. Free Mode operates on a paid subscription basis, costing $20 per month for the Core tier and $100 per month for Pro.

However, the primary goal is to maximize the value of these subscriptions while eliminating the stress of exhausting AI tokens. Users can utilize Free Mode to chat, ideate, or execute simple tasks before leveraging their subscription's more extensive budget. Michele Catasta, Replit's president and head of AI, describes the launch as "radical," attributing it to OpenAI's 80% cost reduction on the Luna model on July 30.

Catasta explained that GPT-5.6 Luna is both powerful and reliable, handling tasks that don't necessitate frontier-level intelligence with smaller, faster, and more affordable models. When the Replit agent identifies a task requiring a more sophisticated model, it seamlessly transitions to that model before reverting to Free Mode as soon as possible.

This development aligns with a broader trend in the AI industry, where companies strive to reduce AI product costs amid intensifying competition and enterprise concerns over AI spend returns. OpenAI's Thibault Sottiaux highlighted cost-cutting measures driven by efficiency improvements in running the model, emphasizing the focus on optimizing tool and model selection for optimal outcomes.

While Replit offers various models, GPT-5.6 Luna exclusively powers Free Mode. Catasta and OpenAI Head of Core Products and Platform Thibault Sottiaux expressed excitement for future joint launches, emphasizing the companies' shared vision to make powerful, affordable models accessible to a broader audience.