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Microsoft is preparing a new artificial intelligence model to compete with Google, owner of ChatGPT OpenAI: report

Microsoft is training a new in-house artificial intelligence language model large enough to compete with the language models of Google owner OpenAI and Alphabet’s ChatGPT, the Information reported Monday.

The new model, internally called MAI-1, is being overseen by recently hired Mustafa Suleyman, co-founder of Google DeepMind and former CEO of AI startup Inflection, the report said, citing two Microsoft employees with knowledge of the effort.

The exact purpose of the model has not yet been determined and will depend on how well it performs. The report suggests that Microsoft will be able to showcase the new model as early as this month at the Build developer conference.

Microsoft declined to comment when contacted by Reuters.

Microsoft's new model is internally called MAI-1.  Microsoft CEO Satya Nadella, above.  APMicrosoft's new model is internally called MAI-1.  Microsoft CEO Satya Nadella, above.  AP

Microsoft’s new model is internally called MAI-1. Microsoft CEO Satya Nadella, above. AP

The report says MAI-1 will be “significantly larger” than previous, smaller open-source models that Microsoft has previously trained, which means it will be more expensive.

Last month, Microsoft launched a smaller AI model called Phi-3-mini that aims to appeal to a broader customer base with cost-effective options.

The company has invested billions of dollars in OpenAI and implemented the manufacturer’s ChatGPT technology in its productivity software suite, giving it an early leadership position in the generative AI race.

MAI-1 is overseen by recent hire Mustafa Suleyman, co-founder of Google DeepMind and former CEO of AI startup Inflection.  AFP via Getty ImagesMAI-1 is overseen by recent hire Mustafa Suleyman, co-founder of Google DeepMind and former CEO of AI startup Inflection.  AFP via Getty Images

MAI-1 is overseen by recent hire Mustafa Suleyman, co-founder of Google DeepMind and former CEO of AI startup Inflection. AFP via Getty Images

The report shows that Microsoft has dedicated a large cluster of servers equipped with Nvidia GPUs along with a large amount of data to improve the model.

According to the report, MAI-1 will have approximately 500 billion parameters, while OpenAI’s GPT-4 will have one trillion parameters and Phi-3 mini will measure 3.8 billion parameters.

In March, Microsoft named Sulejman to head its newly created consumer artificial intelligence unit and hired several Inflection employees.

The new model is not ported from Inflection, although it may be based on training data acquired since launch, the report added.