Select Page

Microsoft investing $1 billion in OpenAI to build a supercomputer for Azure

Microsoft investing $1 billion in OpenAI to build a supercomputer for Azure

Microsoft is going to make a $1 billion bet on OpenAI, the company formed by notable founders which include Elon Musk and Sam Altman three years before with the aim of doing research and development work to direct the growth of AI (artificial intelligence) toward the “friendlier” end of the spectrum, in order to help ease what Musk sees as a potential existential threat from AI if it isn’t developed liable while it grows in capability. Earlier this week, Microsoft and OpenAI declared a multiyear “exclusive computing partnership” that will contain the two companies building new AI (artificial intelligence) supercomputing tech for Microsoft’s Azure cloud platform, and OpenAI will also port its current services to work on Azure. Now Microsoft will also be “OpenAI’s favored partner” when it comes to the commercialization of new AI tech it develops in the future.

All the discussion of “exclusivity” and “preference” in this announcement is especially interesting because one of OpenAI’s founding rules and regulations was to “freely collaborate” among other AI (artificial intelligence) researchers, and make both its work and documents available to others. But there are some cautions, including that there is OpenAI Incorporation, the nonprofit firm, and its for-profit corporate secondary OpenAI LP, and that its present charter includes a provision that out of “safety and security issues” it may lessen the public editing of its work as it moves ahead.

The goal of this collaboration for Microsoft seems to be to provide it an edge in building out a comprehensive Azure AI platform and ensure its supercomputing technologies are involved in the advancement of artificial general intelligence.


While the exact breakdown of the nature of the investment was not public, an account which is belonging to CTO Greg Brockman on Hacker News said it was “a cash investment.”

Long after the press releases hit the wire recently, OpenAI contacted us with a bit more detail about the declaration. According to the statement that was received from OpenAI co-founder and CTO Greg Brockman it was cleared that It’s a cash investment into OpenAI LP. It uses a standard capital promptness structure, to be called as we need it. They said that they are planning to spend it in less than five years, and possibly much sooner.”

At its launch is concerned, OpenAI noted that it had $1 billion committed from Altman Musk and co-founder Brockman, as well as Peter Thiel, Jessica Livingston, Reid Hoffman, and Amazon Web Services.

Leave a Reply

%d bloggers like this: