Microsoft is focusing on making more affordable and smaller AI models, potentially similar to OpenAI's GPT-4 but requiring much less computing power.AI 

Microsoft is developing compact AI models to capitalize on additional prospects.

Microsoft is reportedly developing cheaper, smaller AI models to take advantage of more opportunities in the AI market. The new generative AI team is reportedly focused on developing Smaller Language Models (SLMs), which are similar to OpenAI’s GPT-4 but use less computing power.

“Microsoft is doubling down on AI that is smaller and cheaper to run than OpenAI,” the report states.

The technology giant has formed a new team to develop conversational artificial intelligence that requires less computing power compared to the software used by OpenAI, the report says, citing sources.

The new GenAI team will be led by Microsoft Vice President Misha Bilenko and will be part of the Azure cloud unit.

The company has also transferred several senior AI developers from its research group to the new GenAI team. Meanwhile, OpenAI this month launched the GPT Store, where users of its premium plans can sell and share custom AI models based on the company’s LLM.

To access the GPT Store, users must subscribe to one of OpenAI’s premium ChatGPT plans – ChatGPT Plus, ChatGPT Enterprise or the newly launched ChatGPT Team.

The Sam Altman-led company also announced that it will begin a revenue-sharing program with GPT contributors in the first quarter of the year. ChatGPT Team is $25 per month per user when billed annually or $30 per month for monthly billing.

ChatGPT Team is aimed at groups of up to 150 people and offers many of the features of ChatGPT Enterprise, including access to GPT-4 and DALL-E 3 and the ability to create custom GPTs.

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