gpt-oss-120b vs Microsoft Phi-4

OpenAI · US  |  Microsoft · US · Updated June 2026

Quick verdict

Pick gpt-oss-120b for self-hostable on a single 80gb h100 gpu via mxfp4 or configurable reasoning depth (low/medium/high). Pick Microsoft Phi-4 for strong reasoning for a small 14b open-weight model or mit-licensed — fully self-hostable at no per-token cost. On a tight budget at scale, gpt-oss-120b is the value pick.

gpt-oss-120b (OpenAI) and Microsoft Phi-4 (Microsoft) are two of the models people most often weigh against each other in 2026. gpt-oss-120b is openAI's open-weight 117B-parameter MoE reasoning model (5.1B active) that runs on a single 80GB GPU and approaches o4-mini on reasoning, coding, and tool use. Microsoft Phi-4 is microsoft's MIT-licensed 14B open model — strong reasoning for its size and very cheap, but a tiny 16K context and text-only. They diverge most on price and context window — each quantified below from the models' real specs.

Key differences at a glance

Side-by-side specs

Specgpt-oss-120bMicrosoft Phi-4
ProviderOpenAI (US) Microsoft (US)
ReleasedAugust 5, 2025 January 10, 2025
Context window131K (~197 pages) 16K (~25 pages)
Price (in/out)Open weight (self-host / free) $0.07/$0.14 per 1M tokens
Open weight?Yes — self-hostable Yes — self-hostable
Modalitiestext, code text, code
SWE-Bench Verified62.4% Not published
MRCR v2 @ 1MNot published Not published

Who wins what

Self-hostable on a single 80GB H100 GPU via MXFP4

gpt-oss-120b

OpenAI's open-weight 117B-parameter MoE reasoning model (5.1B active) that runs on a single 80GB GPU and approaches o4-mini on reasoning, coding, and tool use — and it carries the larger 131K context.

Configurable reasoning depth (low/medium/high)

gpt-oss-120b

OpenAI's open-weight 117B-parameter MoE reasoning model (5.1B active) that runs on a single 80GB GPU and approaches o4-mini on reasoning, coding, and tool use — and it is the newer of the two.

Agentic tool use, function calling, and code execution

gpt-oss-120b

gpt-oss-120b lists agentic tool use, function calling, and code execution among its strengths; Microsoft Phi-4 does not.

Strong reasoning for a small 14B open-weight model

Microsoft Phi-4

gpt-oss-120b is comparatively weak here — 131K context and 5.1B active params trail the largest frontier closed models

MIT-licensed — fully self-hostable at no per-token cost

Microsoft Phi-4

Microsoft Phi-4 lists mIT-licensed — fully self-hostable at no per-token cost among its strengths; gpt-oss-120b does not.

Runs on modest or local hardware

Microsoft Phi-4

Microsoft Phi-4 lists runs on modest or local hardware among its strengths; gpt-oss-120b does not.

Lowest cost at scale

gpt-oss-120b

Its weights are open, so at volume you pay for your own hardware instead of Microsoft Phi-4's $0.07/$0.14 per 1M tokens.

Largest single-prompt input

gpt-oss-120b

Its 131K window is about 8× larger than Microsoft Phi-4's 16K, fitting roughly 197 pages in one prompt.

Which should you pick?

A cost-sensitive startup shipping high volume

gpt-oss-120b

At Open weight (self-host / free) it undercuts Microsoft Phi-4, and on millions of tokens that margin decides the monthly bill.

Someone analysing very long documents or codebases

gpt-oss-120b

Larger 131K window fits more in one prompt.

Anyone whose priority is self-hostable on a single 80gb h100 gpu via mxfp4

gpt-oss-120b

It is specifically built for that.

Anyone whose priority is strong reasoning for a small 14b open-weight model

Microsoft Phi-4

That is its strongest area.

gpt-oss-120b: where it fits

OpenAI's open-weight 117B-parameter MoE reasoning model (5.1B active) that runs on a single 80GB GPU and approaches o4-mini on reasoning, coding, and tool use. Released August 5, 2025 by OpenAI, it is built for self-hostable on a single 80GB H100 GPU via MXFP4, configurable reasoning depth (low/medium/high), agentic tool use, function calling, and code execution, and full chain-of-thought visibility for debugging.

Its trade-offs are real: text-only, no image, audio, or video input, and 131K context and 5.1B active params trail the largest frontier closed models. As an open-weight model, its running cost is your own hardware rather than a per-token fee.

Microsoft Phi-4: where it fits

Microsoft's MIT-licensed 14B open model — strong reasoning for its size and very cheap, but a tiny 16K context and text-only. Released January 10, 2025 by Microsoft, it is built for strong reasoning for a small 14B open-weight model, mIT-licensed — fully self-hostable at no per-token cost, runs on modest or local hardware, and very cheap hosted inference at about $0.07/$0.14.

Its trade-offs: a tiny 16K context — by far the smallest window in this comparison, text only — no image, audio or video input, an early-2025 small model, outclassed on hard tasks by 2026 flagships, and no first-party per-token API; hosted prices are third-party. At $0.07 in / $0.14 out per million tokens, it sits in the budget price band.

The bottom line for this matchup

gpt-oss-120b and Microsoft Phi-4 overlap enough that the right pick depends on your specific job. gpt-oss-120b costs less per token; gpt-oss-120b holds the larger context; and each leads in its own area — gpt-oss-120b for self-hostable on a single 80gb h100 gpu via mxfp4, Microsoft Phi-4 for strong reasoning for a small 14b open-weight model. Rather than crowning one, run the same hard task through both once and let the results decide.

Want both gpt-oss-120b and Microsoft Phi-4 without two subscriptions? LumiChats gives you these plus 40+ models under one ₹69/day pass (about $1/day) — draft with one, cross-check with the other.

See pricing

Frequently asked questions

Is gpt-oss-120b or Microsoft Phi-4 better for coding?

Public SWE-Bench figures are not available for Microsoft Phi-4, so the honest test is your own repository — run an identical real bug through both. By design, gpt-oss-120b leans toward self-hostable on a single 80gb h100 gpu via mxfp4 while Microsoft Phi-4 leans toward strong reasoning for a small 14b open-weight model, and that positioning usually predicts which feels better on your codebase.

Which is cheaper, gpt-oss-120b or Microsoft Phi-4?

gpt-oss-120b is cheaper — Open weight (self-host / free) vs $0.07/$0.14 per 1M tokens.

Which has the bigger context window?

gpt-oss-120b — 131K vs 16K, about 8× larger. Useful only if the model actually reasons over the full window, which not all do.

Can I use both gpt-oss-120b and Microsoft Phi-4 together?

Yes — a multi-model platform like LumiChats gives you gpt-oss-120b, Microsoft Phi-4 and 40+ others under one ₹69/day pass (about $1/day), so you can draft with one and cross-check with the other instead of buying two subscriptions.

Which is newer, gpt-oss-120b or Microsoft Phi-4?

gpt-oss-120b — released August 5, 2025, about 7 months after Microsoft Phi-4.

Related comparisons

Specifications and benchmarks reflect publicly reported figures as of June 2026 and may change as providers release updates. Always verify on your own workload.