Microsoft announces multi billion dollar investment in OpenAI to support development

Microsoft announces multi-billion dollar investment in OpenAI to support development of ChatGPT and other AIs

Microsoft said it is adding new ones to its long-term partnership with OpenAI “Multi-year, multi-billion dollar investment” This confirms the rumors that surfaced a few weeks ago reporting the upcoming $10 billion investment. We recall that OpenAI is the creator of popular artificial intelligence systems such as chatbot ChatGPT and image generator DALL-E 2.

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Microsoft acquired an exclusive license for the underlying technology behind the GPT-3 AI model back in 2020 after investing $1 billion in OpenAI in 2019. Microsoft has developed a close relationship with OpenAI and plans to add OpenAI’s DALL-E 2-based image-by-text description engine to its Bing search engine. Microsoft does not disclose how much money will be invested in OpenAI in total.

The deal will allow Microsoft to increase its investment in the development and deployment of supercomputing systems in support of OpenAI research. Microsoft will become OpenAI’s exclusive cloud partner, and Microsoft cloud services will support all OpenAI workloads across products, API services, and research. The software giant also plans to deploy OpenAI models in various consumer and enterprise products. Microsoft is rumored to be preparing to challenge Google with ChatGPT’s Bing integration, and the company is reportedly considering integrating some AI speech technologies into its Word, PowerPoint, and Outlook apps.

Microsoft started rolling out a cloud service for OpenAI last week, essentially combining a range of AI models developed by OpenAI, including GPT 3.5, Codex and DALL-E, with the scalability of its Azure cloud service and other data management and processing add-ons. ons.

“We formed our partnership with OpenAI based on a shared commitment to responsibly fostering cutting-edge research and democratizing artificial intelligence as a new technology platform., says Microsoft CEO Satya Nadella. — In the next phase of our partnership, Azure will give developers and organizations across all industries access to the best AI infrastructure, models and toolsets to build and run their applications.”

Rumors of this deal suggested that Microsoft could receive 75 percent of OpenAI’s profits until it returns its investment plus 49 percent of OpenAI stock. OpenAI says it will remain a limited profit-sharing company after this deal, allowing it to continue raising capital through checks and balances.

“The last three years of our partnership have been great, said OpenAI CEO Sam Altman. Microsoft shares our values ​​and we look forward to continuing our independent research and working to develop cutting-edge AI that benefits everyone.”

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Robbie Elmers

Robbie Elmers is a staff writer for Tech News Space, covering software, applications and services.

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