Microsoft's AI Chief Plots a Future Without OpenAI

Microsoft's AI head, Mustafa Suleyman, is leading a push to reduce the company's reliance on OpenAI. Despite over $13 billion in investment, Microsoft seeks greater control and cost reduction. This involves transitioning away from OpenAI's models, a complex undertaking given their deep integration into products like Copilot and Bing. Microsoft is testing alternatives and gradually replacing OpenAI models with in-house options like Phi-4, but faces significant challenges due to contractual obligations and technical dependencies. Success would grant Microsoft greater cost control and market competitiveness.