The way I've experienced "Code Red" is mostly as a euphemism for "on-going company-wide lack of focus" and a band-aid for mid-level management having absolutely no clue how to meaningfully make progress, upper management panicking, and ultimately putting engineers and ICs on the spot to bear the brunt of that organizational mess.

Interestingly enough, apart from Google, I've never seen an organization take the actual proper steps (fire mid-management and PMs) to prevent the same thing from happening again. Will be interesting to see how OAI handles this.