Microsoft Replaces OpenAI & Anthropic with In-House Models in Excel, Outlook

rohanpaul_ai · x · 2026-07-08

According to Bloomberg, Microsoft is replacing OpenAI and Anthropic models with its own in-house models in Excel and Outlook to lower Copilot costs. Microsoft aims to reduce expensive calls to external labs that control frontier model pricing. Microsoft AI chief Mustafa Suleyman explicitly stated the goal is to gradually phase out and ultimately eliminate these external costs. While OpenAI still offers Microsoft discounts through a long-standing partnership, these price cuts may gradually diminish.

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