MICROSOFT IS QUIETLY SHOPPING FOR AN OPENAI REPLACEMENT

Summary from the TLDR AI newsletter

Microsoft signed a deal with OpenAI late April that amended the company's exclusive license to OpenAI models, freed OpenAI to sell on any other cloud, and removed the AGI clause that would have triggered changes to Microsoft's IP rights once OpenAI's board declared the threshold reached. Microsoft's IP license, a 27% stake worth roughly $135 billion, will be kept through 2032. Microsoft is reportedly looking to purchase Inception, a company that builds diffusion-based language models. It is interesting that Microsoft would spend $13 billion on a partner and then immediately start a shadow procurement process for a replacement.