Microsoft’s $1B For OpenAI Aimed at Improving Azure Cloud Platform
Summary
Microsoft announced Monday it will invest $1 billion in OpenAI, a young venture that aims to democratize the benefits of artificial intelligence and software-driven automation. The Redmond, WA-based tech giant says it will work with OpenAI in coming years to enhance Microsoft’s existing cloud computing and AI platform, Azure. San Francisco-based OpenAI says it plans to help Microsoft (NASDAQ: MSFT) extend the capabilities of Azure, its data hosting service, in large-scale AI systems. OpenAI is still an emerging player in the highly competitive AI sector, but is led by a well known Silicon Valley figure, Sam Altman. In a blog post announcing his departure from Y Combinator earlier this year, Altman wrote that he planned to devote his full energies to OpenAI, which he described as “more exciting (and more complex) than I ever imagined.” Under the terms of the deal, OpenAI will port its services to run on Microsoft Azure, and Microsoft will become OpenAI’s “preferred partner” for bringing new AI services to market.
