Microsoft is launching homegrown AI models at Build next week, positioned as cheaper alternatives to OpenAI and Anthropic.

Buried in the reporting: relying on Anthropic's Claude forced Microsoft to raise GitHub Copilot prices and cap how much developers could actually use it. They get OpenAI's models free through 2032 but are spending billions to not need them when that expires.

Suleyman's team hasn't topped a single leaderboard in two year, the explanation being that Microsoft's OpenAI deal restricted him from training frontier models until April. Convenient timing for a launch.

Via The Information

Anyways, really excited for Microsoft Build next week. Ill attend in person.