Microsoft expands pact with OpenAI via multi-billion dollar deal

Microsoft is investing even more in OpenAI: a multi-billion dollar contract over several years.

Microsoft is once again pumping money into OpenAI, as part of an extension of their partnership. The tech giant has signed a new “multi-billion dollar” investment that will enable wider use of OpenAI’s technologies, as well as enhanced server-side support. Neither company went into detail, but Microsoft explains that we must expect “new categories of digital experiences”, both for the general public and for professionals. The Azure OpenAI Service will play an important role.

Microsoft invests even more in OpenAI

This enhanced union will also see Microsoft bolster its investment in supercomputers that accelerate OpenAI research Azure will remain OpenAI’s cloud provider for products, research and services. The exact amount of this financial contribution has not been disclosed, but a source of Bloomberg claims that the Redmond firm would invest $10 billion over “several years”.

Microsoft had first invested in OpenAI in 2021, before returning to it in 2021 The New York Times specifies that the giant has “silently” invested an additional 2 billion dollars since its initial investment. The two companies have strengthened their ties since the beginning of their collaboration. In addition to the Azure service, Microsoft has released features powered by OpenAI including natural language programming and a DALL-E 2 graphical design tool. OpenAI uses Microsoft’s infrastructure to train its most popular systems, including DALL -E 2 and its chatbot ChatGPT. ChatGPT will also arrive very soon in Azure.

A multi-billion dollar multi-year contract

No mention either of certain developments evoked by certain rumors, such as the integration of ChatGPT in Bing. However, this extension could help Microsoft gain a serious edge over the competition. Google sees ChatGPT as a threat to its search business and it is reportedly currently working hard on a chatbot for search as well as other AI products despite some reluctance to fully dive into this technology for fear of drifts around copyright. Even if this stronger partnership with OpenAI does not improve Bing, Microsoft could benefit by forcing competitors like Google to react quickly and strongly.

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