OpenAI's GPT-4o model, released in May 2024, has significantly advanced AI-powered translation, offering more natural and context-aware renditions through its multimodal capabilities. Evaluations throughout 2025 have highlighted both its strengths and persistent limitations, particularly with languages that have fewer digital resources and in the translation of literary texts. While GPT-4o has improved translation functionalities within ChatGPT, challenges remain in accurately translating less common languages and capturing the nuances of literature, often requiring human post-editing.
Studies in 2025 indicate that GPT-4o performs well with widely spoken European languages but shows diminished efficacy with languages that have a smaller digital footprint or distinct linguistic structures. Literary translations, in particular, can suffer from compromised grammatical accuracy and natural syntax. OpenAI introduced GPT-4.5 in February 2025 to address some of these translation challenges, but it was soon superseded by GPT-5 in August 2025, with GPT-4o remaining a primary model for translation tasks. This rapid development cycle reflects the industry's ongoing pursuit of enhanced linguistic accuracy and cultural sensitivity in AI. The AI translation market is projected to reach approximately $2.94 billion in 2025, with predictions suggesting significant integration of AI into content management systems, further boosting the localization industry, which is expected to reach around $75.7 billion by 2025. While AI is increasingly adept at understanding nuances and cultural contexts, human oversight remains crucial for tasks demanding deep cultural understanding and creative interpretation. Professional translators are increasingly using AI tools to augment their capabilities, focusing on higher-level tasks like transcreation and cultural consulting. This collaborative approach, known as "post-editing machine translation," combines AI efficiency with human linguistic understanding. However, AI still struggles with colloquialisms, tone, and subtle emotional undercurrents, making human review essential for nuanced or high-stakes content to ensure accuracy, cultural appropriateness, and the preservation of the author's original intent.