GPT-4 vs. GPT-3: Examining the Progression of Language Models and Their Implications

by Anastasiia Bitkina

The recent release of the GPT-4, the latest version of OpenAI’s language models, has brought even more attention to this well-known technology. This is hardly surprising, as the GPT-4 has been introduced as OpenAI’s most advanced model yet, capable of solving complex problems with greater accuracy than ever before. Its expanded general knowledge and problem-solving abilities make it a significant leap forward in language models.

If you are reading this article, you’ve most likely come across the choice between GPT-4 and GPT-3.

In this blog post, we’ll look at the difference between GPT-3 and GPT-4 to help you understand which model best suits your needs. We discuss the potential GPT-3 and GPT-4 applications in various industries and consider the challenges and limitations of both models.

Table of contents

Overview of GPT-3

GPT-3 is the natural language processing model from OpenAI. This revolutionary technology has taken the world by storm with its ability to generate text that is nearly indistinguishable from that written by humans. The GPT-3 model is incredibly powerful, boasting a whopping 175 billion parameters, making it the largest and most advanced language model to date. This incredible technology can potentially revolutionize industries ranging from healthcare to finance. The applications for GPT-3 are practically limitless, and its possibilities for the future are nothing short of awe-inspiring.

Source: OpenAI

Let’s consider its capabilities in depth:

  • Natural language processing: GPT-3 excels at understanding and generating human-like text. It can perform various natural language processing tasks, including language translation, summarization, question-answering, and text completion.
  • Creative writing: GPT-3 has demonstrated its ability to generate coherent and contextually relevant text in various styles, such as poetry, storytelling, and technical writing.
  • Conversational AI: GPT-3 can engage in conversations, responding to prompts, and generating relevant and contextually appropriate replies. It can simulate human-like interactions to a remarkable extent.
  • Information retrieval: GPT-3 can retrieve information from a given text, making it useful for tasks like reading comprehension and information synthesis.
  • Code generation: GPT-3 has been trained on code snippets, enabling it to generate code in multiple programming languages based on given specifications or descriptions.

How GPT-3 impacts various industries

The model’s ability to produce human-like responses and generate coherent text has made it a popular tool for various industries, including marketing, journalism, and customer service. For example, GPT-3’s conversational capabilities have been leveraged to create more advanced and human-like chatbots, enhancing customer service experiences. Also, GPT-3’s ability to generate coherent and contextually relevant text has been used to automate content creation and assist with summarizing large amounts of information.

What is more, GPT-3 can assist in providing educational content, generating quizzes, answering questions, and helping with language learning.  GPT-3’s language processing capabilities have been utilized to improve machine translation systems and enhance language understanding in various applications.

Limitations of GPT-3

Despite its capabilities, GPT-3 does have some limitations. For example, the model may struggle with understanding context or providing accurate information when dealing with complex or technical subjects. Additionally, the sheer size of the model means that it can be slow to train and difficult to deploy on smaller devices.

GPT-3 has significantly impacted the NLP industry, pushing the boundaries of what is possible with language processing technology. However, as with any AI model, it is vital to understand its limitations and use it appropriately to achieve the best results.

Expected improvements in GPT-4

“We’ve created GPT-4, the latest milestone in OpenAI’s effort to scale up deep learning. GPT-4 is a large multimodal model (accepting image and text inputs, emitting text outputs) that, while less capable than humans in many real-world scenarios, exhibits human-level performance on various professional and academic benchmarks.”

Source: OpenAI

GPT-4, the latest iteration in the series of OpenAI’s language models, brings forth a range of notable improvements that build upon the successes of its predecessors. They are:

Larger size

GPT-4 has even more parameters than GPT-3, making it an even more powerful language processing model.

Improved efficiency

OpenAI focuses on improving the efficiency of the model. This involves reducing training time, decreasing power consumption, or increasing inference speed.

Better performance

GPT-4 better understands context, connects different concepts, and generates more coherent responses. This can be achieved using more advanced natural language processing techniques and machine learning techniques.

Multimodal capabilities

GPT-4 integrates multimodal processing capabilities, such as processing text and images. This enables more sophisticated image captioning, video analysis, and other tasks that require understanding both visual and linguistic information.

Improved interaction capabilities

GPT-4 has enhanced conversational abilities, allowing it to understand human emotions better and generate more engaging responses.

Potential applications of GPT-4

GPT-4, the next-generation language model, holds immense potential for revolutionizing various industries. The OpenAI technology has a wide range of potential applications across various industries. Some possible use cases include:


Healthcare professionals could use GPT-4 to analyze large amounts of medical data, identify patient symptoms and diagnosis patterns, and assist with medical research. It could also be integrated into chatbots to provide personalized health advice and support.


GPT-4 could be used to develop more sophisticated chatbots and virtual assistants for entertainment, such as gaming. It could also generate scripts for movies and TV shows or even create entirely new virtual characters. Additionally, it could improve recommendation systems for personalized content suggestions.


GPT-4 could be used for financial forecasting, analyzing market trends, and risk analysis, as well as for assisting with investment strategies, generating financial reports, and detecting fraudulent activities. It could also help with customer service by providing personalized financial advice and support.


GPT-4 could be used to develop virtual tutoring systems that can provide personalized learning experiences to students. It could generate tailored learning materials, provide intelligent tutoring systems, and offer interactive virtual assistants for students. It might enhance the effectiveness of online courses and help with language learning and content creation. It could also be used to generate educational content and assessments and for language translation to aid in global education initiatives.

Overall, the potential applications of GPT-4 are vast and varied, with almost limitless possibilities for integration across various industries. Its ability to process and generate human-like responses and contextually relevant information makes it an exciting tool for driving innovation and efficiency in many areas. However, it is essential to note the ethical considerations around AI development and use, especially when dealing with sensitive information such as healthcare data.

Comparison between GPT-4 and GPT-3

One key difference between GPT-4 and GPT-3 is their size and complexity. GPT-4 has more parameters than GPT-3, which enables it to generate even more sophisticated and contextually relevant responses.

OpenAI developers tested the two models on different benchmarks, including exams that were originally designed for human performance. The results are impressive. GPT-3 scored poorly, with only 1 out of 5 on the AP Calculus BC exam, while GPT-4 received a score of 4. In a simulated bar exam, GPT-4 performed exceptionally well, scoring in the top 10% of test takers, whereas GPT-3.5 – the latest iteration of the GPT-3 series – scored in the bottom 10%. 

Source: OpenAI

GPT-4 could provide users with greater control over generated outputs, allowing them to specify specific requirements and constraints. This enhanced level of control enables GPT-4 to produce text that closely adheres to defined criteria and guidelines.

GPT-4 is a highly versatile language model, demonstrating true polyglot capabilities. While previous versions of GPT excelled in English proficiency, GPT-4 has surpassed them with an accuracy of over 85%. It can now fluently communicate in 25 languages, including Mandarin, Polish, and Swahili, outperforming its predecessor’s English proficiency. This is particularly noteworthy as most existing machine learning benchmarks are predominantly available in English.

Another area where GPT-4 is better than GPT-3 is its ability to understand the context and generate more coherent responses. For example, GPT-4 can better understand the underlying meaning and intent behind a user’s input, which could lead to more accurate and helpful answers. This could be particularly beneficial in customer service or virtual assistance applications.

OpenAI has been diligently working on artificial intelligence behavior, including steerability. Now developers (and soon ChatGPT users) can specify their AI’s style and task by providing directions in the “system” message. System messages allow API users to customize their users’ experience considerably within predefined limits.

In addition, OpenAI set boundaries for GPT-4’s interactions, acting as “guardrails” to prevent GPT-4 from altering its behavior at the user’s request, as demonstrated in the following example.

Now that we have explored the difference between GPT-3 and GPT-4 let’s summarize all the above in the comparison table.

Regardless of the specific GPT-3 and GPT-4 differences, both models represent significant advancements in natural language processing and have the potential to revolutionize various industries.

Challenges & limitations of GPT-4

While GPT-4 represents a significant advancement in natural language processing, it is important to acknowledge the potential challenges and limitations that come along with its development:

Ethical concerns

As with any AI model, there are ethical considerations when developing and deploying GPT-4. For example, there may be concerns about data privacy, bias, and the potential impact on employment.

GPT-4 is prone to making arithmetic errors

While it may generate text that appears grammatically correct and logical, it may still make mistakes when it comes to numerical calculations. It’s important to remember this when using the model for tasks requiring precise numerical values.

Inability to analyze audio or video content

While the model can generate and understand text-based content, it cannot currently process other media types. This could limit its usefulness in specific fields where audio or video analysis is essential.

Cost of implementing such a powerful model

GPT-3 was already quite expensive, and GPT-4 is even more so. This could make it inaccessible to smaller businesses or individuals.

Lack of contextual understanding

Despite its advanced capabilities, GPT-4 may still need help with understanding context and generating accurate responses in certain situations. This could be particularly problematic in customer service or medical diagnosis applications, where accuracy is critical.

Dependence on data quality

Like any computer program, GPT-4 may still suffer from biases in its training data, which could lead to biased or inaccurate outputs. While steps can be taken to mitigate this issue, developing AI language models remains a significant challenge.

Which GPT is better for AI applications?

The choice of which GPT model is better for AI applications depends on the specific use case and the task at hand.

GPT-3, currently the most advanced model available, has shown impressive results in generating natural language text across various tasks, such as language translation, question-answering, and text summarization. It has also demonstrated strong performance in developing creative writing, poetry, and computer code.

However, GPT-3’s limitations include its high cost and limited ability to analyze audio or video content. It may also suffer from biases in its training data, leading to inaccurate or biased outputs.

GPT-4 is more powerful than its predecessor. It can address some of the limitations of GPT-3, such as its proficiency in languages other than English and its inability to analyze non-textual data.

The choice of which GPT model to use for AI applications depends on the specific requirements and limitations of the task at hand.

Read also: How to Build an App with ChatGPT

Wrapping up

So which is better, GPT-3  or GPT-4? The comparison between GPT-4 and GPT-3 highlights the potential advancements the newer model could bring to natural language processing. While GPT-3 has already demonstrated impressive capabilities, GPT-4 promises to push the boundaries of language understanding and generation even further. The potential for enhanced contextual understanding, improved content generation, and domain-specific expertise opens up exciting possibilities for various industries.

As technology advances, it’s crucial to ensure the responsible development and deployment of GPT-4 to unlock its full potential while mitigating its limitations. With further improvements, GPT-4 could revolutionize how we interact with language and pave the way for more sophisticated and impactful applications in the future.

If you want to start leveraging ChatGPT, get in touch for a consultation. Alternative-spaces helps you explore unseen market segments, get measurable business value, and drive breakthrough results!


  • How powerful will GPT-4 be?

Based on the performance improvements seen in GPT-2 and GPT-3, it’s reasonable to expect that GPT-4 will be even more powerful than its predecessors.

GPT-3, for example, is currently one of the most advanced AI language models available, capable of generating high-quality text across various applications. It has also demonstrated impressive abilities in language understanding, translation, question-answering, and even creative writing.

GPT-4 may offer enhancements in areas such as natural language understanding, contextual understanding, generating coherent and contextually appropriate responses, and potentially even reducing biases. 

  • How much better will GPT-4 be than GPT-3?

It’s reasonable to assume that subsequent versions of AI language models like GPT-4 will aim to improve upon the limitations and shortcomings of their predecessors. Based on the improvements seen in previous GPT models, we can expect GPT-4 to surpass GPT-3.  These improvements include language understanding, contextual reasoning, generating more coherent and contextually appropriate responses, reducing biases, and offering better fine-tuning capabilities for specific tasks.

We expect GPT-4 to be a significant step forward in natural language generation and processing.

  • What is the difference between GPT-3 and GPT-4?

Some areas where GPT-4 can have advancements include:

– Model size and capacity:–  GPT-4 has a larger model size, enabling it to capture more extensive linguistic patterns and context.

– Language understanding: GPT-4 has better natural language understanding, allowing it to comprehend and interpret input text more accurately.

– Coherence and contextuality: GPT-4 generates more coherent and contextually appropriate responses, resulting in more natural and engaging conversations.

– Bias reduction: There might be further efforts to reduce biases in GPT-4, building upon the ongoing work to address bias in AI models.

– Fine-tuning capabilities: GPT-4 offers improved fine-tuning capabilities, allowing users to adapt the model to specific tasks or domains more effectively.

  • Which GPT is better in terms of implementation cost?

Regarding implementation cost, GPT-3 has higher prices than earlier versions due to its larger model size and computational requirements. GPT-3 has 175 billion parameters, making it one of the most significant AI language models available at its release. Training and deploying such a massive model can be computationally expensive and resource-intensive.

The cost of implementing GPT-4, or any future version, will depend on various factors such as model size, computational requirements, and any additional features or improvements introduced. GPT-4 follows the trend of increasing model size and complexity, so it leads to higher implementation costs than GPT-3.

However, it’s important to note that the cost of implementing AI models can vary depending on the specific use case, infrastructure, and cloud service provider or platform used for deployment.

Content created by our partner, Onix-systems.


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