Anthropic has introduced an advanced AI model designed to enhance response speed and improve complex problem-solving through a hybrid reasoning approach.
This development positions the company in direct competition with major players in the generative AI industry, including U.S. tech giants like OpenAI and emerging Chinese AI firms like DeepSeek and Alibaba. Anthropic’s innovation is aimed at differentiating its technology by offering more nuanced reasoning capabilities and a better user experience.
The Claude 3.7 Sonnet model is Anthropic’s most sophisticated AI model to date and is now available across all Claude plans, including Free, Pro, Team, and Enterprise tiers.
However, a key feature of the model, known as “extended thinking mode,” is limited to paid subscribers. This mode enables the AI to engage in a process of self-reflection before generating responses, leading to improved accuracy and depth in areas such as mathematics, physics, coding, and instruction-following tasks. By incorporating this feature, Anthropic aims to provide users with more reliable and thorough answers, particularly for complex inquiries that require multi-step reasoning.
Unlike previous AI models that have emphasized mathematical and computational challenges, Anthropic has designed its hybrid reasoning system to prioritize “real-world” tasks that align more closely with how businesses and professionals actually utilize large language models. This strategic shift is intended to make the AI more practical and effective in professional settings where logical reasoning and nuanced decision-making are essential.
Preview of Claude Code
Alongside the launch of the Claude 3.7 Sonnet model, Anthropic has also introduced a limited-release preview of Claude Code, an agentic coding tool designed to assist developers with programming tasks. This AI-powered tool enables users to delegate substantial portions of their engineering workload directly from their terminal, providing an automated solution for various coding challenges.
Agentic coding tools like Claude Code represent a significant advancement in AI-assisted software development, offering increased efficiency and reducing the manual effort required for complex coding tasks.
Pricing strategy
Despite the introduction of new features and capabilities, Anthropic has maintained its existing pricing structure. Users can determine the amount of time and computational resources allocated to answering a query, ensuring flexibility in performance optimization. The model remains competitively priced compared to its rivals, particularly OpenAI’s GPT-4o model.
Claude 3.7 Sonnet is priced at $3 per million input tokens and $15 per million output tokens, lower than OpenAI’s rates of $15 and $60, respectively. This cost advantage positions Anthropic as an appealing alternative for businesses and developers looking for a balance between performance and affordability in AI-driven applications.
Anthropic, backed by tech giants like Amazon and Google, is advancing its AI capabilities while making them more accessible to a range of users.
Baburajan Kizhakedath
