Microsoft Invests $10 Billion in ChatGPT Maker OpenAI

Microsoft Invests $10 Billion in ChatGPT Maker OpenAI: Microsoft and OpenAI, the company that makes ChatGPT, have announced a new multiyear, multibillion dollar investment. Microsoft Corp. will be making a $10 billion worth investment in OpenAI, the research lab behind the famous ChatGPT and DALL-E.  After Microsoft’s prior investments in 2019 and 2021, this agreement begins the third phase of their partnership. Microsoft said the renewed partnership will accelerate breakthroughs in AI and help both companies commercialize advanced technologies in the future.

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Significance of This Strategic Investment:

OpenAI works closely with Microsoft’s cloud service Azure. In July 2019, Microsoft backed OpenAI with $1 billion, and the investment made Microsoft the “exclusive” provider of cloud computing services to OpenAI. Microsoft said that Azure will continue to serve as OpenAI’s exclusive provider.

The two companies will benefit from supercomputing at scale and new AI-powered experiences thanks to Microsoft’s investment.

OpenAI’s Modern Technology: The ChatGPT:

ChatGPT automatically generates text based on written prompts in a fashion that’s much more advanced and creative than the chatbots of Silicon Valley’s past. The software debuted in late November and quickly turned into a viral sensation as tech executives and venture capitalists gushed about it on Twitter, even comparing it to Apple’s debut of the iPhone in 2007.

About OpenAI:

OpenAI is ranked by AI researchers as one of the top three AI labs worldwide, and the company has developed game-playing AI software that can beat humans at video games such as Dota 2. However, it’s arguably received more attention for its AI text generator GPT-3 and its quirky AI image generator Dall-E.