Microsoft OpenAI Partnership Driving Next Phase of AI

Microsoft is no longer the only cloud provider for OpenAI. Previously, Microsoft exclusively provided the data centers where OpenAI trained its AI models.

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Now, OpenAI has made a new deal with companies like SoftBank and Oracle, which will allow them to use other cloud providers for AI workloads.

Microsoft will still have the first option to host OpenAI's AI models, but if they can't meet OpenAI's needs, OpenAI can turn to other companies for cloud services. Microsoft also confirmed it will continue to support OpenAI with its Azure cloud service for products and training.

There have been tensions between the two companies over available computing power, and this new arrangement will allow OpenAI more flexibility. Despite this, Microsoft and OpenAI still have a long-term partnership that includes sharing revenue and access to OpenAI’s technology. However, if OpenAI develops highly advanced AI systems in the future, Microsoft could lose access to OpenAI’s technology.

The OpenAI API, which allows customers to use OpenAI's models, will remain exclusive to Microsoft’s Azure platform.

The official link of the news is https://blogs.microsoft.com/blog/2025/01/21/microsoft-and-openai-evolve-partnership-to-drive-the-next-phase-of-ai/.