Microsoft invests billions in ChatGPT-maker OpenAI

Microsoft says it is making a “multiyear, multibillion dollar investment” in the artificial intelligence startup OpenAI, maker of ChatGPT

Microsoft says it is making a “multiyear, multibillion dollar investment” in the artificial intelligence startup OpenAI, maker of ChatGPT and other tools that can write readable text and generate new images.

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The tech giant on Monday described its new agreement as the third stage of a growing partnership with San Francisco-based OpenAI that began with a $1 billion investment in 2019. It didn't disclose the dollar amount for its latest investment.

The partnership positions Microsoft to sharpen its competition with Google in commercialising new AI breakthroughs that could transform numerous professions, as well as the internet search business.

OpenAI's free writing tool ChatGPT launched on November 30 and has brought public attention to the possibilities of new advances in AI.

It’s part of a new generation of machine-learning systems that can converse, generate readable text on demand and produce novel images and video based on what they’ve learned from a vast database of digital books, online writings and other media.

Microsoft's partnership enables it to capitalise on OpenAI's technology. Microsoft's supercomputers are helping to power the startup's energy-hungry AI systems, while the Redmond, Washington-based tech giant will be able to further integrate OpenAI technology into Microsoft products.