Microsoft’s Relationship With OpenAI Is Not Looking Good
Published on: 2025-07-15 11:50:01
We are receiving more evidence that Microsoft is looking to split with OpenAI. A new report from The Information says Microsoft is developing its own in-house reasoning models to compete with OpenAI and has been testing models from Elon Musk’s xAI, Meta, and DeepSeek to replace ChatGPT in Copilot, its AI bot for the workplace.
The development would have been unheard of only a year or two ago as Microsoft plowed billions of dollars into the AI darling and inked a deal that seemed to tie the two together inextricably for years to come. But there have already been whispers in recent months that Microsoft has been interested in loosening its reliance on OpenAI, in part out of concern over ChatGPT’s price and speed.
Microsoft Copilot has thus far received poor reception in enterprises due to its high cost and limited results. It can be useful at completing some easier tasks, like placing prepared text into a slideshow. Limiting a chatbot to a fixed dataset can often yield better results t
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