Microsoft Boosts Office AI with Anthropic's Claude Models
Microsoft has struck a deal with Anthropic to use its advanced Gemini models in Office 365 applications, marking a significant move in the tech giant's AI strategy. This comes as both Microsoft and its competitors, including OpenAI and potentially Notion, develop productivity solutions to rival Office.
Microsoft will obtain Anthropic's models through Amazon Web Services (AWS), a cloud competitor. This decision allows Microsoft to enhance its Office AI assistant, Copilot, with models that have outperformed OpenAI's GPT models in tasks like creating presentations and automating Excel functions.
Copilot, integrated into Word, Excel, PowerPoint, and Outlook, will now have Gemini models alongside existing OpenAI models. This move is strategic, as Office Copilot has the potential to generate over $1 billion annually if adopted by just one percent of Office users. Meanwhile, Notion is exploring its own productivity solutions, including AI agents, which could potentially compete directly with Microsoft Office.
Microsoft's deployment of Anthropic's Gemini models in Office 365 applications aims to strengthen its AI capabilities and maintain its competitive edge in the productivity suite market. The pricing for Office Copilot remains at $30 per user per month.
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