Microsoft AI CEO, Mustafa Suleyman. eWEEK content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More .
Microsoft, one of OpenAI’s biggest backers, is developing its own AI reasoning models — a move that could position the company as a direct competitor to its partner, OpenAI.
The tech giant is working on a series of advanced AI reasoning models, internally referred to as MAI, in what appears to be a strategic effort to reduce its reliance on OpenAI’s technology , according to multiple reports. These new models are designed to tackle complex problem-solving tasks and are already undergoing testing as potential substitutes for OpenAI’s systems within Microsoft products, including Copilot, the AI assistant integrated into Microsoft 365, Microsoft Office, Bing Search, and GitHub. From partner to rival?
Microsoft and OpenAI have worked closely since 2019, with Microsoft investing over $13 billion in the ChatGPT maker. However, the partnership seems to be shifting. Microsoft’s AI division, now led by Mustafa Suleyman, co-founder of DeepMind and Inflection, has been expanding its in-house capabilities.
According to The Information , Suleyman’s team has already trained a family of AI models that perform nearly the same level as OpenAI’s most advanced models, including the o1 reasoning model. These MAI models reportedly excel in reasoning tasks — where AI not only provides answers, but also explains its thought process — a feature particularly useful in fields such as healthcare, finance, manufacturing, and scientific research. Testing new waters
Microsoft isn’t stopping at its own AI models; it’s also evaluating models from other companies — including Elon Musk’s xAI , Meta , Anthropic , and DeepSeek — as possible backups or alternatives for OpenAI’s models in Copilot. This multi-model strategy suggests Microsoft is moving toward a more diversified AI infrastructure rather than relying solely on OpenAI.
The MAI models are also being tested as potential drop-in replacements for OpenAI’s models within Copilot. If testing proves successful, Microsoft could offer them through a public API later this year, allowing third-party developers to integrate them into their applications — similar […]
Will Microsoft’s Hush-Hush AI Moves Turn OpenAI Into a Rival?