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AI power rankings upended: OpenAI, Google rise as Anthropic falls, Poe report finds

Join our daily and weekly newsletters for the latest updates and exclusive content on industry-leading AI coverage. Learn More Poe‘s latest usage report shows OpenAI and Google strengthening their positions in key AI categories while Anthropic loses ground and specialized reasoning capabilities emerge as a crucial competitive battleground. According to data released today by Poe, […]

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Poe‘s latest usage report shows OpenAI and Google strengthening their positions in key AI categories while Anthropic loses ground and specialized reasoning capabilities emerge as a crucial competitive battleground.

According to data released today by Poe, a platform offering access to more than 100 AI models, significant market share shifts occurred across all major AI categories between January and May 2025. The data, drawn from Poe subscribers, provides rare visibility into actual user preferences beyond industry benchmarks.

“As a universal gateway to 100+ AI models, Poe has a unique view of usage trends across the ecosystem,” said Nick Huber, Poe’s AI Ecosystem Lead, in an exclusive interview with VentureBeat. “The most surprising things happening right now are rapid innovation (3x the number of releases Jan-May 2025 vs. the same period in 2024), an increasingly diverse competitive landscape, and reasoning models are the clear success story of early 2025.”

A chart from Poe showing AI model rankings across different categories as of May 2025. OpenAI’s GPT-4o dominates in text generation with 35.8% usage share, while Google’s Gemini-2.5-Pro leads in reasoning capabilities and Imagen3 in image generation. (Credit: Poe)

GPT-4o maintains dominance while new models quickly capture market share

In core text generation, OpenAI’s GPT-4o maintained its commanding position with 35.8% of message share, while the company’s newer GPT-4.1 family quickly captured 9.4% of usage within weeks of launch. Google’s Gemini 2.5 Pro similarly achieved approximately 5% message share shortly after its introduction.

These gains came largely at the expense of Anthropic’s Claude models, which saw a 10% absolute decline in share during the reporting period. The report notes that Claude 3.7 Sonnet has now substantially replaced the earlier Claude 3.5 Sonnet in user preference, though the latter still maintains a notable 12% usage share.

DeepSeek, which experienced viral growth earlier this year, has seen its momentum slow as competitors have released their own affordable, verbose reasoning models. DeepSeek R1‘s message share declined from a peak of 7% in mid-February to 3% by the end of April.

Complex problem-solving capabilities become key differentiator in AI market

Perhaps the most significant trend identified in the report is the dramatic growth in specialized reasoning models, which have expanded from approximately 2% to 10% of all text messages sent on Poe since the beginning of 2025.

“Reasoning models, even in the early days, have demonstrated a remarkable ability to handle complex tasks with increased precision,” Huber told VentureBeat. “Early adopters are clearly finding value in this and are willing to take on the tradeoffs in cost and processing time for better outcomes.”

In this high-growth segment, Gemini 2.5 Pro has quickly established itself as a leader, capturing approximately 31% of reasoning model usage within just six weeks of launch. It now leads the category, ahead of Claude’s reasoning-specialized models.

OpenAI continues to innovate rapidly in this space, releasing multiple reasoning models (o1-pro, o3-mini, o3-mini-high, o3, and o4-mini) in the first four months of 2025 alone. The report indicates that Poe users quickly adopt OpenAI’s newest offerings, transitioning from older models like o1 to newer alternatives like o3.

The report also noted the emergence of hybrid reasoning models, such as Gemini 2.5 Flash Preview and Qwen 3, which can dynamically adjust their reasoning level within conversations. However, these models currently represent only about 1% of reasoning model usage.

Industry analysts suggest this shift toward specialized reasoning capabilities signals a maturing AI market where raw text generation is becoming commoditized, forcing providers to differentiate through higher-value capabilities that can command premium pricing.

Google’s Imagen 3 challenges established players in visual AI arena

The image generation market appears increasingly competitive, with Google’s Imagen 3 family steadily growing from approximately 10% to 30% share during 2025, now rivaling category leader Black Forest Labs’ FLUX family of models, which collectively held about 35% share as of late April.

OpenAI’s GPT-Image-1, introduced to the API in late April, rapidly achieved 17% of image generation usage in just two weeks, mirroring its viral adoption in the ChatGPT app throughout March and early April.

The report indicates that FLUX models maintained their overall plurality share in image generation on Poe, but experienced a moderate decline from approximately 45% to 35% during the reporting period.

This three-way competition between Google, OpenAI, and Black Forest Labs marks a significant shift from early 2024, when Midjourney and Stable Diffusion variants dominated the space. The rapid improvement in image quality, adherence to prompts, and rendering speed has transformed this category into one of the most fiercely contested AI battlegrounds.

Enterprise adoption of image generation has accelerated substantially in the past six months, according to supplementary industry data, with marketing departments and creative agencies increasingly integrating these tools into their production workflows.

Chinese upstart Kling disrupts video AI market, challenging Runway’s early lead

In video generation, Chinese lab Kuaishou’s newly released Kling family of models has quickly disrupted the market, collectively capturing about 30% usage share. Most notably, Kling-2.0-Master attained 21% of all video generation on Poe by the end of April, just three weeks after its release.

Google’s Veo 2 maintained a strong position with approximately 20% share following its February launch, while category pioneer Runway saw its usage share decline substantially from about 60% to 20% throughout the reporting period.

The speed of Kling’s market penetration highlights how quickly the competitive landscape can shift in emerging AI categories, where established players may not maintain their early advantages as newcomers rapidly iterate and improve.

Video generation remains the most computationally intensive consumer-facing AI application, with models requiring significant processing power to create even short clips. This has kept usage more limited than text or image generation, but rapidly falling costs and improving quality are expected to drive broader adoption through 2025.

Early enterprise adopters include advertising agencies, social media content creators, and educational platforms that have begun integrating AI-generated video into their content strategies despite the technology’s current limitations.

ElevenLabs dominates voice AI while new entrants target specialized use cases

ElevenLabs continues to lead the audio generation category, fulfilling approximately 80% of all subscribers’ text-to-speech requests during the reporting period. However, the report highlights emerging competition from newcomers Cartesia, Unreal Speech, PlayAI, and Orpheus, which offer differentiated voice options, effects, and pricing models.

This market dominance by a single player stands in stark contrast to the more fragmented competition in other AI categories. Industry experts attribute ElevenLabs’ continued leadership to its early market entry, extensive voice library, and consistent quality improvements that have maintained a technical edge over competitors.

Newer entrants are finding success by targeting specific market niches. Unreal Speech has gained traction with podcast producers and audiobook publishers by offering specialized voice actors and emotional range capabilities. Meanwhile, Cartesia has focused on multilingual voices with authentic accents, capturing interest from global enterprises and educational platforms.

The audio AI market is projected to grow substantially through 2025 as text-to-speech capabilities approach human-like quality and find applications in customer service, accessibility solutions, and content creation. The relatively low computational requirements compared to video generation allow for wider deployment and experimentation.

Strategic Implications for Businesses Navigating a Constantly Shifting AI Landscape

The dynamic nature of the AI model landscape presents both opportunities and challenges for businesses integrating these technologies.

“It can be challenging to keep up with the latest in AI and the pace is only gaining speed,” Huber told VentureBeat. “If you’re a business already running AI at scale, investing in robust, provider-agnostic evaluation pipelines is critical because the model that’s best this month may be second-best next month.”

This volatility in model preferences underscores the value of platforms like Poe that offer access to multiple models through a single interface, allowing users to compare outputs and adapt to the changing AI ecosystem.

Industry analysts suggest that the growing importance of reasoning capabilities may signal a shift in how businesses evaluate and deploy AI models, with an increasing focus on precision and reliability for complex tasks rather than just speed or cost efficiency.

As frontier labs continue to release more capable models at an accelerating pace, businesses face difficult decisions about when to standardize on specific platforms versus maintaining flexibility. Many enterprise AI leaders are adopting a portfolio approach, using different models for different tasks while maintaining the ability to switch providers as capabilities evolve.

“This is going to be an important space to watch, especially among frontier providers as it represents the best of what AI can currently accomplish,” Huber noted regarding reasoning models.

The report indicates that multimedia capabilities are also becoming increasingly competitive, suggesting that text generation, long the primary focus of AI development, may be giving way to a more balanced ecosystem where image, video, and audio generation play equally important roles.

Businesses that successfully navigate this complex landscape will likely be those that maintain evaluation frameworks focused on specific use cases rather than chasing the latest model releases, while simultaneously building technical infrastructure that allows for rapid adoption when meaningful improvements emerge.

As AI models continue their game of musical chairs atop the rankings, one thing becomes clear: in today’s market, the crown rarely stays on the same head for long — and companies betting their future on yesterday’s AI champion may find themselves aligned with tomorrow’s also-ran.

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Crude Rebounds Over 11% from Lows

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Trump DOE’s latest move would roll some energy standards back decades

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GOP to Phase Out Biden Energy Credits to Pay for Tax Cuts

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Charging Forward: Scottish government approves Alcemi’s 300 MW Kintore battery storage plans

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Cisco joins AI infrastructure alliance

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Cato Networks introduces AI-powered policy analysis engine

Cato Networks this week announced a new policy analysis engine for its cloud-based secure access service edge platform that the company says will optimize and improve SASE policies, reduce risk, simplify compliance, and reduce manual maintenance efforts. Cato Autonomous Policies is built into the Cato SASE Cloud Platform and can provide enterprises with AI-driven recommendations to eliminate security exposure, tighten access controls, and improve network performance. The first use case of the policy engine is designed for firewall as a service (FWaaS) environments in which “firewall rule bloat” is present, Cato explained in a statement. The bloat comes from organizations accumulating thousands of rules that were designed to protect the environment, but after becoming outdated or misconfigured, actually lead to increased risk. “Most enterprises rely on a mix of firewalls deployed in data centers, branch offices, and cloud environments. Over time, rule sets grow, become inconsistent, and are filled with redundant, outdated, or conflicting entries,” wrote Demetris Booth, product marketing director at Cato Networks, in a blog post on the product news. “As a result, security policies become hard to manage, even harder to audit, and often misaligned with zero-trust principles. AI-driven firewall policy management is necessary for modern enterprises to streamline and optimize security operations.”

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Riverbed bolsters network acceleration for AI’s performance bottlenecks

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Kyndryl and Microsoft expand partnership to streamline cloud operations

Kyndryl and Microsoft broadened their existing partnership to bring together Microsoft’s adaptive cloud approach and Kyndryl Distributed Cloud services to help customers better develop, manage and secure hybrid cloud operations.  Microsoft says its AI-infused adaptive cloud approach, which leverages Microsoft Azure Arc, Azure Local and Azure Cloud, enables customers to link distributed hybrid, multicloud, edge, and IoT resources under a single, secure application and data platform. The model uses customer data and an AI engine to offer predictive analytics, automated workflows, and threat detection and response to manage the environment, according to Microsoft.  Kyndryl will deliver the adaptive cloud approach to its customers through its Distributed Cloud services, which also use AI to improve automation, optimize workloads, enhance application performance, and reduce operational complexity. Kyndryl Distributed Cloud services create a mesh of interconnected resources and data from the data center to the edge in a multicloud environment, according to Kyndryl. Use cases include data center and edge modernization to support digital twins, AI video, robotic process automation, predictive maintenance, IoT data streams, asset tracking, and anomaly detection. 

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Tech CEOs warn Senate: Outdated US power grid threatens AI ambitions

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Networking errors pose threat to data center reliability

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Microsoft will invest $80B in AI data centers in fiscal 2025

And Microsoft isn’t the only one that is ramping up its investments into AI-enabled data centers. Rival cloud service providers are all investing in either upgrading or opening new data centers to capture a larger chunk of business from developers and users of large language models (LLMs).  In a report published in October 2024, Bloomberg Intelligence estimated that demand for generative AI would push Microsoft, AWS, Google, Oracle, Meta, and Apple would between them devote $200 billion to capex in 2025, up from $110 billion in 2023. Microsoft is one of the biggest spenders, followed closely by Google and AWS, Bloomberg Intelligence said. Its estimate of Microsoft’s capital spending on AI, at $62.4 billion for calendar 2025, is lower than Smith’s claim that the company will invest $80 billion in the fiscal year to June 30, 2025. Both figures, though, are way higher than Microsoft’s 2020 capital expenditure of “just” $17.6 billion. The majority of the increased spending is tied to cloud services and the expansion of AI infrastructure needed to provide compute capacity for OpenAI workloads. Separately, last October Amazon CEO Andy Jassy said his company planned total capex spend of $75 billion in 2024 and even more in 2025, with much of it going to AWS, its cloud computing division.

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John Deere unveils more autonomous farm machines to address skill labor shortage

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2025 playbook for enterprise AI success, from agents to evals

Join our daily and weekly newsletters for the latest updates and exclusive content on industry-leading AI coverage. Learn More 2025 is poised to be a pivotal year for enterprise AI. The past year has seen rapid innovation, and this year will see the same. This has made it more critical than ever to revisit your AI strategy to stay competitive and create value for your customers. From scaling AI agents to optimizing costs, here are the five critical areas enterprises should prioritize for their AI strategy this year. 1. Agents: the next generation of automation AI agents are no longer theoretical. In 2025, they’re indispensable tools for enterprises looking to streamline operations and enhance customer interactions. Unlike traditional software, agents powered by large language models (LLMs) can make nuanced decisions, navigate complex multi-step tasks, and integrate seamlessly with tools and APIs. At the start of 2024, agents were not ready for prime time, making frustrating mistakes like hallucinating URLs. They started getting better as frontier large language models themselves improved. “Let me put it this way,” said Sam Witteveen, cofounder of Red Dragon, a company that develops agents for companies, and that recently reviewed the 48 agents it built last year. “Interestingly, the ones that we built at the start of the year, a lot of those worked way better at the end of the year just because the models got better.” Witteveen shared this in the video podcast we filmed to discuss these five big trends in detail. Models are getting better and hallucinating less, and they’re also being trained to do agentic tasks. Another feature that the model providers are researching is a way to use the LLM as a judge, and as models get cheaper (something we’ll cover below), companies can use three or more models to

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OpenAI’s red teaming innovations define new essentials for security leaders in the AI era

Join our daily and weekly newsletters for the latest updates and exclusive content on industry-leading AI coverage. Learn More OpenAI has taken a more aggressive approach to red teaming than its AI competitors, demonstrating its security teams’ advanced capabilities in two areas: multi-step reinforcement and external red teaming. OpenAI recently released two papers that set a new competitive standard for improving the quality, reliability and safety of AI models in these two techniques and more. The first paper, “OpenAI’s Approach to External Red Teaming for AI Models and Systems,” reports that specialized teams outside the company have proven effective in uncovering vulnerabilities that might otherwise have made it into a released model because in-house testing techniques may have missed them. In the second paper, “Diverse and Effective Red Teaming with Auto-Generated Rewards and Multi-Step Reinforcement Learning,” OpenAI introduces an automated framework that relies on iterative reinforcement learning to generate a broad spectrum of novel, wide-ranging attacks. Going all-in on red teaming pays practical, competitive dividends It’s encouraging to see competitive intensity in red teaming growing among AI companies. When Anthropic released its AI red team guidelines in June of last year, it joined AI providers including Google, Microsoft, Nvidia, OpenAI, and even the U.S.’s National Institute of Standards and Technology (NIST), which all had released red teaming frameworks. Investing heavily in red teaming yields tangible benefits for security leaders in any organization. OpenAI’s paper on external red teaming provides a detailed analysis of how the company strives to create specialized external teams that include cybersecurity and subject matter experts. The goal is to see if knowledgeable external teams can defeat models’ security perimeters and find gaps in their security, biases and controls that prompt-based testing couldn’t find. What makes OpenAI’s recent papers noteworthy is how well they define using human-in-the-middle

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