Microsoft is working on developing its own artificial intelligence (AI) reasoning models, aiming to compete with OpenAI, according to a report by The Information on Friday.
Exploring Alternatives for Copilot
The company has begun testing AI models from xAI, Meta, and DeepSeek as potential replacements for OpenAI in its Copilot AI assistant, the report revealed.
Neither Microsoft nor OpenAI have responded to Reuters’ requests for comment on the matter.
Diversification and Cost Reduction
A December Reuters report had previously revealed that Microsoft was exploring internal and third-party AI models to support its Microsoft 365 Copilot, reducing its reliance on OpenAI’s technology and cutting costs.
If successful, Microsoft may offer its in-house AI models to developers, further expanding its AI ecosystem and reducing dependence on external providers.
