Exclusive: Microsoft works to add non-OpenAI models into 365 Copilot products, sources say

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Exclusive: Microsoft works to add non-OpenAI models into 365 Copilot products, sources say

Microsoft is actively working to integrate both internal and third-party AI models into its Microsoft 365 Copilot. This strategic move aims to lessen reliance on OpenAI's technology, primarily due to concerns over costs and performance speed for enterprise users. The company is also customizing open-weight models to enhance efficiency and reduce operational expenses.

The shift reflects a broader trend within Microsoft, as various business units explore alternatives to OpenAI's models. Notably, GitHub has begun incorporating models from Anthropic and Google, showcasing a diversification strategy. Despite challenges in proving the return on investment for 365 Copilot, analysts predict significant adoption growth, with expectations of over 10 million paid users this year.

• Microsoft aims to diversify AI models for 365 Copilot.

• Concerns over costs and speed drive Microsoft's strategy shift.

Key AI Terms Mentioned in this Article

AI Models

AI models are algorithms that process data to perform tasks, crucial for enhancing Microsoft 365 Copilot's functionality.

Open-weight Models

Open-weight models are AI frameworks that can be customized, allowing Microsoft to improve efficiency in its applications.

Enterprise AI

Enterprise AI refers to AI applications designed for business environments, which Microsoft aims to optimize for its corporate clients.

Companies Mentioned in this Article

Microsoft

Microsoft is enhancing its AI capabilities by integrating various models into its 365 Copilot product.

OpenAI

OpenAI remains a partner for Microsoft, providing advanced AI models while Microsoft seeks alternatives.

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