OpenAI's 'Code Red' Week: A $1 Billion Deal With Disney And ChatGPT 5.2

Reports a few days ago stated that OpenAI's Sam Altman sent a "code red" memo to employees in the wake of Google's Gemini 3 release, urging the teams to shift their focus to improving the main ChatGPT experience, and postpone other AI projects. The rumors also indicated a GPT-5.2 upgrade would be released this week, as soon as Tuesday. It turns out they were almost correct: OpenAI unveiled the GPT-5.2 family of models on Thursday, two days later than expected, saying ChatGPT can now offer several improvements over the previous generation. That previous generation is GPT-5.1, which OpenAI launched only a month ago as an upgrade for GPT-5.

OpenAI didn't just release new AI models with improved capabilities over the previous versions. The company also announced a significant partnership with Disney for Sora, which should also serve as a notable PR move in its rivalry with other AI firms developing frontier chatbots that rival ChatGPT, especially Google. Finally, OpenAI confirmed that the adult mode some ChatGPT users may be waiting for is coming in early 2026.

OpenAI said in a blog post that GPT-5.2 is the "most capable model series yet for professional knowledge work." That's what users would expect from any new chatbot upgrade from the main players in the AI industry, but OpenAI provided benchmarks and statements from early testers to back up its claims. The company says GPT-5.2 "sets a new state of the art across many benchmarks," highlighting GDPval, "where it outperforms industry professionals at well-specified knowledge work tasks spanning 44 occupations."

GPT-5.2 Thinking evals pic.twitter.com/Kcnz3ZIwye

— OpenAI (@OpenAI) December 11, 2025

OpenAI explained that it developed the GPT-5.2 upgrade so ChatGPT can "unlock even more economic value" for users. GPT-5.2 should make ChatGPT more reliable during day-to-day use. The GPT-5.2 model is better at creating productivity documents, like Excel files and presentations. It also received improvements for writing and fixing code. ChatGPT will also be better at understanding visual content, including screenshots, diagrams, visual reports, and other images. 

ChatGPT can now handle a longer context window and will use tools more reliably across longer tasks when using the GPT-5.2 models. GPT-5.2 can also handle agentic work better during complex end-to-end workflows, including coding. Importantly, OpenAI said that it managed to reduce ChatGPT hallucinations significantly with the GPT-5.2 upgrade, though they were not eliminated.

GPT-5.2 Thinking
Raises the bar for professional work:

- State-of-the-art long-context reasoning

- Major improvements in spreadsheet creation, analysis, and formatting

- Early gains in slideshow creation pic.twitter.com/gdnlH5DG35

— OpenAI (@OpenAI) December 11, 2025

The new models (GPT-5.2 Instant, Thinking, and Pro) are available worldwide, starting with the premium tiers. OpenAI says GPT-5.2 Instant is "a fast, capable workhorse for everyday work and learning," while the Thinking model is designed for "deeper work." The Pro model is the "smartest and most trustworthy option for difficult questions," assuming you have access to the Pro subscription. The previous GPT-5.1 and GPT-5 models will be available to paid users under the legacy menu for three months.

In that same blog post, OpenAI states that with ChatGPT, "users should notice GPT‑5.2 feels better to use day to day—more structured, more reliable, and still enjoyable to talk to." What users won't get is the adult mode that some people have been waiting for. The company is in the "early stages of rolling out its age prediction model," which will let ChatGPT automatically apply protections to underage users. According to The Verge, OpenAI CEO of Applications, Fidji Simo, told reporters that it will test the age prediction model to see how well it can tell teen and adult users apart. Simo added that an adult mode is expected to launch in the first quarter of 2026.

OpenAI and Disney also announced a three-year partnership that will see specific Disney content made available for ChatGPT-generated images and Sora videos, including over 200 characters from Disney, Marvel, Pixar, and "Star Wars." The characters will be available to users in early 2026, but the deal doesn't include voices or the likenesses of real actors. The partnership will also have Disney stream some Sora content on Disney Plus. Additionally, Disney made a $1 billion investment in OpenAI, and warrants to increase that investment in the future. The company will also deploy ChatGPT for employees, and use OpenAI's AI tools to develop new experiences, including Disney+.

Interestingly, Disney and OpenAI announced the partnership a day after Disney sent a cease-and-desist letter to Google. Disney accused OpenAI's big rival of "infringing on Disney's copyrights on a massive scale," per The Wall Street Journal. The letter reportedly includes material generated with Gemini, Nano Banana, and Veo featuring Disney characters.