Microsoft is reportedly moving away from OpenAI; Started testing models from xAI, Meta and DeepSeek

Since the year 2019, Microsoft and OpenAI companies have been working together and Microsoft was the exclusive provider of data center infrastructure to OpenAI to train and run its AI models. But this changed in January 2025, when both companies signed a new agreement that gave Microsoft the Right of first refusal on new OpenAI cloud computing capacity.

There were also rumors that both the companies have some growing tension between them while it was also said that Microsoft is looking to split with OpenAI. Well, a recent report by The Information also suggests that Microsoft may soon be away from OpenAI.

As per the report, Microsoft is actively testing AI models from xAI, Meta, and DeepSeek as potential replacements for ChatGPT for Copilot. This move by Mircosoft signals a major shift in its AI strategy.  It is said that Microsoft is interested in loosening its reliance on OpenAI, due to concerns over ChatGPTs price and speed.

Reportedly, Microsoft is also said to be planning on selling access to its in-house reasoning model called MAI, to other developers, rivaling directly with OpenAI. And now Mircosoft testing new AI models could reshape the AI landscape, as earlier the two companies who were partners, would now become each other’s direct competitors with this move.