Microsoft prepares new AI model to compete with Google, OpenAI

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Amid Sino-US tensions, Microsoft requests some employees relocate from China
Amid Sino-US tensions, Microsoft requests some employees relocate from China

Microsoft is developing a new, in-house AI language model capable of competing with Alphabet’s Google and OpenAI.

Microsoft (MSFT.O) is developing a new, in-house AI language model capable of competing with Alphabet’s Google (GOOGL.O) and OpenAI. According to a source, the new model, known internally as MAI-1, is being directed by recently hired Mustafa Suleyman, a Google DeepMind co-founder and former CEO of AI firm Inflection.

The model’s actual purpose is unknown at this time, and it will be determined based on how well it performs. According to the source, Microsoft could preview the new model at its Build developer conference later this month.

According to the report, MAI-1 will be “far larger” than the previous smaller, open-source models trained by Microsoft, implying that it will be more expensive.

Microsoft launched a smaller artificial intelligence model called Phi-3-mini last month in an effort to reach a larger client base with more affordable solutions.

The business has invested billions of dollars in OpenAI and integrated the ChatGPT maker’s technology into its suite of productivity applications, giving it an early advantage in the generative AI battle.

According to the source, Microsoft has set aside a big cluster of computers equipped with Nvidia’s (NVDA.O) graphic processing units, as well as large amounts of data, to refine the model.

According to the research, MAI-1 will contain approximately 500 billion parameters, while OpenAI’s GPT-4 is expected to have one trillion parameters and Phi-3 tiny measures 3.8 billion parameters.

In March, Microsoft appointed Suleyman as the leader of its newly formed consumer AI branch and hired many Inflection staffers.

According to the article, the new model is not based on Inflection’s training data, but it may use startup training data.

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