Google asks US government to shatter Microsoft’s exclusive cloud deal with OpenAI : US Pioneer Global VC DIFCHQ SFO Singapore – Riyadh Swiss Our Mind

Google wants the US government to break Microsoft’s exclusive deal, hosting OpenAI’s tech stack on its cloud servers.

  • Google wants the FTC to break Microsoft’s cloud deal with OpenAI.
  • Buying OpenAI’s tech through Microsoft may see extra charges.
  • OpenAI wants to scrap an AGI clause to extend the partnership.

In a surprising turn of events, Google has reportedly asked the US government to break Microsoft’s exclusive agreement to host OpenAI’s technology on its cloud servers. For context, Microsoft and OpenAI are in a mutually beneficial partnership. The former gets access to the ChatGPT maker’s advanced AI models and intellectual property (IP). In contrast, the latter gets computing power and funding for its sophisticated AI advances.

But as it now seems, Google wants the US government to intervene, potentially changing the terms of the agreement between Microsoft and OpenAI by breaking the ChatGPT maker’s exclusive deal with Microsoft for its vast cloud computing resources. According to The Information, Google expressed concerns when the US Federal Trade Commission (FTC) asked about Microsoft’s business practices as part of an ongoing investigation into its operations.

If the FTC greenlights Google’s request, Microsoft’s cloud computing business could face critical challenges. For instance, Google and Amazon also provide cloud computing services, meaning they could host OpenAI’s AI models. As such, OpenAI’s user base won’t need to leverage Microsoft’s servers to access the ChatGPT maker’s tech stack.

The report further detailed that consumers buying OpenAI’s tech through Microsoft may face extra charges, especially if they aren’t already using Microsoft’s cloud computing services in their operations.

OpenAI CFO Sarah Friar previously placed Microsoft on the spot by indicating that the tech giant isn’t moving fast enough to meet the ChatGPT maker’s cloud computing needs. The AI firm expressed its need for faster server supplies to support its ever-evolving advances in the landscape.

As you may know, OpenAI was on the verge of bankruptcy with projections of a $5 billion loss in the next 12 months. However, the ChatGPT maker’s lifeline was extended through another round of funding from investors, including Microsoft, NVIDIA, and other key stakeholders. It raised $6.6 billion, pushing its market cap to over $157 billion.

The ChatGPT maker highlighted its detailed plans to secure more data centers and AI chips for its advanced ventures with the funds, potentially emancipating itself from an overreliance on Microsoft for its cloud computing needs.

https://www.windowscentral.com/software-apps/google-requests-the-us-government-to-shatter-microsofts-exclusive-cloud-deal-with-openai