AI
Microsoft is reportedly ditching OpenAI’s and Anthropic’s AI models in favor of its own to cut costs
Microsoft is reportedly transitioning away from using OpenAI's and Anthropic's most advanced AI models in favor of its own Microsoft AI (MAI) model family
Key takeaways
- Microsoft is transitioning away from OpenAI and Anthropic models in favor of its own MAI model family to cut costs.
- Tens of thousands of prompts in Excel and Outlook are now being handled by Microsoft's MAI models.
- Microsoft's goal is to reduce and ultimately eliminate the high costs paid to Anthropic.
- Microsoft's partnership deal with OpenAI will ultimately expire in 2032.
Microsoft is reportedly transitioning away from using OpenAI's and Anthropic's most advanced AI models in favor of its own Microsoft AI (MAI) model family to cut costs. According to a Bloomberg report, tens of thousands of prompts in platforms like Excel and Outlook are now being routed through Microsoft's in-house MAI models instead of third-party systems. This shift comes amid growing industry-wide concerns over the high costs of top-tier AI models, with Microsoft AI CEO Mustafa Suleyman stating the company's goal is to ultimately eliminate payments to Anthropic.
In their words
“Anthropic is extremely expensive and I think many people are urgently looking for alternatives. We pay a lot of money to Anthropic, so our goal is to reduce and ultimately eliminate that cost.”
By the numbers
- 35B
- Active parameters in Microsoft's MAI-Thinking 1 model
- 256,000
- Token context window of MAI-Thinking 1
- $10
- Anthropic's price per million input tokens for Fable 5
- $0.435
- DeepSeek's price per million input tokens for V4-Pro
- 2032
- Expiration year of Microsoft's deal with OpenAI
How it unfolded
- DeepSeek released budget-friendly V4-Pro model
- Microsoft unveiled seven new MAI models including MAI-Thinking 1
- Bloomberg reported Microsoft is transitioning to its own models
- Microsoft's partnership deal with OpenAI will expire
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