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Microsoft creates in-house AI models it believes rival OpenAI’s

Bloomberg
Bloomberg • 3 min read
Microsoft creates in-house AI models it believes rival OpenAI’s
Microsoft is also developing so-called reasoning models, which are designed to field more complex queries and display human-like problem-solving, say sources. Photo: Bloomberg
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Microsoft has created in-house artificial intelligence models it believes can go toe-to-toe with industry leaders including partner OpenAI, according to a person familiar with the situation.

A family of models Microsoft is developing recently produced test results suggesting that they were competitive with state-of-the art rivals, including products from OpenAI and Anthropic, said the person, who requested anonymity to discuss an internal matter. 

The Redmond, Washington-based company has tested how the models, called MAI, might perform on a variety of tasks, including powering elements of the company’s Copilot-branded AI assistants.

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