Microsoft and OpenAI: Third Phase of a long-term partnership

Microsoft and Open AI’s Deal 

Microsoft made an initial investment in OpenAI in 2019 and 2021, and they have announced the third phase of their long-term partnership with OpenAI through a multi-year, multi-billion dollar investment to accelerate breakthroughs in AI. If you’re not familiar with OpenAI, they’re the startup behind popular tools DALL-E 2, Whisper, and GPT-3!

Does this relate to Microsoft’s layoff announcements ? 

No, the recent layoffs aren’t related to AI, BUT companies may have realized they don’t need large numbers of people to maintain or build software. Microsoft’s partnership with OpenAI is part of Microsoft’s ongoing investment in AI research and technology.

What about other big tech companies ? 

Microsoft could be a slumbering behemoth. Its partnership with OpenAI is also different from other major tech companies in that Microsoft is the exclusive cloud provider for OpenAI’s products and services. They have committed to significant investment in specialized supercomputing systems to accelerate OpenAI’s research.

Anything new coming from Microsoft ?

Yes, Microsoft will deploy OpenAI’s model across their consumer and enterprise products.Their Azure OpenAI Service (Released 2021) will empower devs to build cutting-edge AI applications through direct access to OpenAI models backed by Azure. 

This is going to be an interesting year with for AI.


Have a great week everyone!

Olu Aganjuomo

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  1. Microsoft and OpenAI Deal
  2. Azure OpenAI Service 
  3. TechCrunch Blog