Microsoft is working on an in-house artificial intelligence (AI) reasoning models to compete with OpenAI and may sell them to developers, as per report on Friday. This way Microsoft is trying to increase its efforts to compete with OpenAI. OpenAI has been its collaborator for the longest time.
By creating in-house AI reasoning models Microsoft exploring alternatives to power products like Microsoft’s Copilot bot. This would be Microsoft’s own AI “reasoning” models comparable to OpenAI’s o1 and o3-mini, as per report.
Microsoft vs OpenAI AI
There has been disagreements between Microsoft and OpenAI over the technical details, which has soured the relationship. OpenAI has reportedly refused to share information on how it’s o1 model works, even after repeated request from Microsoft.
As per as per report, Apple has started testing out models from xAI, Meta and DeepSeek as potential OpenAI replacements in Copilot. Apple has been a major supporter of OpenAI,
Microsoft AI competition
Microsoft has been looking to reduce its dependence on the ChatGPT maker, even as its early partnership with OpenAI put it in a leadership position among Big Tech peers in the lucrative AI race.
As per report, Apple wants to power its flagship AI product Microsoft 365 Copilot and has been working on adding internal and third-party AI models to do so. Apple wants to diversify from the current underlying technology from OpenAI and reduce its costs.
One of the major selling point for Microsoft for 365 Copilot in 2023, was that it used OpenAI’s GPT-4 model.
Microsoft new AI models
The Microsoft’s AI division, led by Mustafa Suleyman, is also training specialized reasoning models that employ chain-of-thought techniques. These advanced AI models generate answers with intermediate reasoning abilities when solving complex problems. This is a direct competition of AI offerings from OpenAI.
Despite being a major financial backer of OpenAI, Microsoft appears to be hedging its bets in the increasingly competitive AI landscape. The company has reportedly begun testing models from other AI companies including xAI, Meta, and DeepSeek as potential alternatives to OpenAI’s technology in its Copilot product.
Microsoft’s AI division team is already experimenting with swapping out the MAI models, far larger than an earlier family of Microsoft models called Phi, for OpenAI’s models in Copilot, the report said.
From the tech taking over Barcelona,
MAI models release
The company is considering releasing the MAI models later this year as an application programming interface, which will allow outside developers to weave these models into their own apps, the report said.
There was no immediate response from neither Microsoft nor OpenAI.
