Deploy a ChatGPT Chat Application with Next.js and Vercel AI SDK

First, create a new Next.js project with npx create-next-app@latest and enable Tailwind CSS during setup. Install the AI packages ai and @ai-sdk/openai , then add your OpenAI API key to .env.local .

Update app/page.js to use the useChat hook from ai/react , rendering messages and an input form. Create app/api/chat/route.js that streams responses using streamText and returns result.toAIStreamResponse() .

Run the development server with npm run dev and verify the chat UI locally. Deploy to Vercel by running vercel , configure the OPENAI_API_KEY in Vercel Settings, and redeploy to activate the environment variable.

For a faster five‑minute deployment, use the official next-openai example on GitHub and click the Deploy button, then set the required environment variables.

The Vercel AI SDK provides core functions such as generateText , streamText , generateObject , and streamObject , with streamText being ideal for chat scenarios. It also offers RSC utilities like createStreamableValue and UI hooks ( useChat , useCompletion , useAssistant ) to simplify stream handling and UI updates.

Overall, leveraging Vercel AI SDK enables rapid integration of AI capabilities into Next.js front‑end projects, handling streaming responses efficiently and providing a solid foundation for building AI‑enhanced web applications.