After OpenAI and SoftBank unveiled their $500 billion Stargate project aimed at building data centers nationwide in the U.S., it marked the end of Microsoft being the sole cloud provider for ChatGPT. In a recent conversation with CNBC, Salesforce CEO Marc Benioff (known for his criticism towards Microsoft’s AI endeavors) hinted:
The Stargate project by OpenAI and SoftBank, worth $500 billion, ended Microsoft’s exclusive cloud provider role for ChatGPT. In an interview with CNBC, Salesforce CEO Marc Benioff, a critic of Microsoft’s AI efforts, suggested:
The announcement of the Stargate project by OpenAI and SoftBank, valued at half a trillion dollars, meant that Microsoft was no longer the exclusive cloud provider for ChatGPT. In an interview with CNBC, Salesforce CEO Marc Benioff, who is known for his criticism towards Microsoft’s AI initiatives, hinted:
The revelation of the Stargate project by OpenAI and SoftBank, worth approximately $500 billion, led to the termination of Microsoft’s exclusive cloud provider contract for ChatGPT. In a conversation with CNBC, Salesforce CEO Marc Benioff, who is recognized for his criticisms towards Microsoft’s AI endeavors, implied:
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As an analyst, I strongly emphasize the significance of OpenAI expanding to various platforms. Given that Microsoft is developing its own AI, I have reservations about the likelihood of them utilizing OpenAI in the future.
Over the last several months, it appears that Microsoft’s substantial partnership with OpenAI has faced some tension, primarily due to a few key issues. It’s worth noting that many of Microsoft’s AI models are underpinned by technology from OpenAI. However, according to a report by Reuters, Microsoft might be contemplating a shift away from OpenAI’s AI solutions, such as the GPT-4 model, because they’re considered too costly and not swift enough to fulfill the needs of its corporate clientele.
It is said that a strategic step by the tech titan aims to cut expenses related to its business offerings like GitHub Copilot, with the goal of eventually lowering costs for consumers and providing better value. Meanwhile, OpenAI has expressed concerns about Microsoft not meeting cloud computing demands, which has reportedly slowed down the introduction of some advanced AI models from OpenAI. Remarkably, OpenAI alleges that Microsoft’s shortcomings in this area could allow rivals to reach artificial general intelligence (AGI) milestones before them.
It’s worth noting that Benioff stated emphatically, “It appears that Mustafa Suleyman and Sam Altman are not close friends.” He based his conclusion on their interactions at last year’s Davos conference, where they were both panelists. Furthermore, he suggested that they seemed uncomfortable around each other, which could indicate tension between Microsoft and OpenAI.
The best tech bromance strays as OpenAI races to build AGI
The specifics of Microsoft’s partnership with OpenAI are yet to be fully defined. Yet, they have recently sealed a deal that grants Microsoft priority access. This means, Microsoft is preferably chosen as the platform for running OpenAI projects using their cloud infrastructure and services. However, if Microsoft fails to fulfill these requirements, OpenAI has the liberty to seek out services from rival companies instead.
Furthermore, the updated contract preserves four significant aspects from the initial agreement:
1. Rights to Intellectual Property (IP) related to OpenAI’s AI-based products remain intact.
2. OpenAI’s API will continue to have exclusive access to Azure services.
3. The revenue sharing structure is reciprocal, meaning both parties share profits from these collaborations.
4. Microsoft maintains its role as the primary investor in OpenAI.
Masayoshi Son, CEO of SoftBank, hinted that Artificial General Intelligence (AGI) may be imminent with the release of Stargate. This aligns with Sam Altman’s previous statements suggesting that AGI could arrive earlier than expected given current technology. However, it seems we might need to be patient as Son downplayed reports suggesting AGI would be implemented next month. In essence, Altman clarified that they have not yet deployed AGI and urged everyone to temper their expectations significantly.
It appears that OpenAI may be approaching the development of Artificial General Intelligence (AGI). According to Sam Altman, OpenAI has the ability to create AGI and could potentially prioritize work on superintelligence. Furthermore, it’s been reported that the creators of ChatGPT are considering removing a restrictive agreement with Microsoft in order to secure extra funding and access to cloud computing resources upon achieving AGI.
An exposed report suggests that OpenAI may not achieve the Artificial General Intelligence (AGI) milestone until they develop an AI system capable of generating approximately $100 billion in earnings. Given OpenAI’s current financial struggles and predictions estimating around $5 billion in losses within the next year, as well as an additional potential loss of $44 billion before seeing a profit in 2029 (partly due to its partnership with Microsoft), this ambitious goal raises some eyebrows. Market experts have expressed doubts about OpenAI’s ability to achieve profitability so soon.
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2025-01-23 18:39