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Microsoft AI Chief Sees Advantage in Building Models '3 or 6 Months Behind' - Slashdot

Apr 07, 2025 - tech.slashdot.org
Microsoft's AI chief, Mustafa Suleyman, revealed that the company intentionally develops AI models that are "three or six months behind" the latest advancements. This strategy, termed "off-frontier," is aimed at cost savings and more focused implementation. Suleyman emphasized that while Microsoft possesses significant Nvidia GPU capacity, it does not prioritize creating the most advanced models first due to the high costs and potential for unnecessary duplication.

Despite a $13.75 billion investment in OpenAI, Microsoft listed the startup as a competitor in July 2024. OpenAI later partnered with Oracle on the $500 billion Stargate project, moving away from exclusive reliance on Microsoft's Azure cloud. Suleyman highlighted the importance of Microsoft achieving AI self-sufficiency in the long term, although the partnership with OpenAI is expected to continue until at least 2030.

Key takeaways:

  • Microsoft's AI strategy involves building models "three or six months behind" cutting-edge developments to save costs and focus implementation.
  • Despite owning substantial Nvidia GPU capacity, Microsoft avoids developing the absolute frontier models due to high costs and potential duplication.
  • Microsoft invested $13.75 billion in OpenAI but added the startup to its list of competitors in July 2024.
  • OpenAI announced a partnership with Oracle on the $500 billion Stargate project, while Microsoft aims to achieve AI self-sufficiency by 2030.
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