Microsoft will be investing USD$10 billion in OpenAI, the company behind the buzzword AI tool “ChatGPT”.
This value now pushes OpenAI valuation to $29 billion, this is quite a landmark for such an AI company.
The terms of the deal will give Microsoft 75% of OpenAI’s profits until it makes its money back and then the stake will drop to 49% in OpenAI. ChatGPT has gotten a lot of media attention over the last few weeks. The AI tool can be able to generate text based on human-readable questions.
These responses from this AI system have been received with both negative and positive reactions from the public. On one side you have the optimists who are very positive about the technology and on the other side, you have the pessimists who are predicting a dystopian future.
ChatGPT could prove to be beneficial for Microsoft, this technology could be integrated within some of the company’s technology suites and enhance the overall product. For example, it could help with search given that ChatGPT is text-based, it will definitely have an impact there.
Analysts are already predicting that ChatGPT will have an impact on Google’s search dominance over the upcoming years when it has been integrated into a product that can improve the search capabilities for the average user.
