Microsoft's approach to AI development, led by CEO Mustafa Suleyman, focuses on a strategic lag behind frontrunners like OpenAI rather than racing to the front. This approach allows the company to craft more efficient, targeted solutions based on earlier models. As Microsoft marks its 50th anniversary, it introduces new features in its AI assistant, Copilot, while emphasizing the importance of long-term self-sufficiency in AI capabilities. Although dependent on OpenAI for major models, Microsoft is developing its own models under the Phi project, signaling a gradual shift toward independence.
"It's cheaper to give a specific answer once you've waited for the first three or six months for the frontier to go first. We call that off-frontier."
"Long-term, it's absolutely mission-critical that we are able to do AI self-sufficiently at Microsoft."
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