Microsoft Replaces OpenAI, Anthropic With Own AI in Some Apps (2 minute read)

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Summary

Microsoft is replacing OpenAI and Anthropic's models with its own in apps like Excel and Outlook, indicating progress in building competitive AI at lower cost.

Microsoft is starting to replace OpenAI and Anthropic's models with its own in software products like Excel and Outlook. The move shows that the company is making progress in its efforts to build competitive AI models at a lower cost. Microsoft uses massive quantities of tokens in its products. It gets a lot of its tokens at a discount, but those deals are set to expire soon, and Microsoft is working to make sure it isn't stuck paying whoever the leading AI labs decide to charge.
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Microsoft is reportedly training salespeople to talk down OpenAI and Anthropic

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Microsoft is reportedly training its sales team to negatively compare rival AI products from OpenAI, Anthropic, and Google against its own, emphasizing the full end-to-end system. The move comes after Microsoft dropped exclusivity with OpenAI and is swapping external models for its own in flagship apps.