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Jon Swartz@Techstrong.ai //

Microsoft's AI Expansion and Chip Export Concerns

Microsoft is expanding its AI capabilities while simultaneously pushing back against AI chip export restrictions. The company recently unveiled new AI models that can process text, images, and speech using less computing power. These Phi-4 models, including Phi-4-Multimodal and Phi-4-Mini, deliver performance comparable to larger language models while being more efficient. Microsoft emphasized that these models are designed to empower developers with advanced AI capabilities, particularly in creating innovative and context-aware applications. Weizhu Chen, vice president of generative AI at Microsoft, highlighted the ability of Phi-4-multimodal to process speech, vision, and text simultaneously, opening doors for new possibilities.

Microsoft is also lobbying against the Biden administration's AI Diffusion Rule, warning that it could harm U.S. AI leadership and benefit China's AI sector. Brad Smith, Microsoft's vice chair and president, argued that the rule, which limits the export of advanced AI components to certain countries, could weaken relationships with key allies and drive businesses to seek alternatives from Chinese vendors. Smith called for a revision of the rule, suggesting the removal of quantitative caps and preservation of qualitative security standards, emphasizing the importance of enabling American firms to compete globally.
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References :
  • Techstrong.ai: Microsoft Introduces AI Models While Pushing Back on Chip Export Restrictions
  • THE DECODER: Microsoft expands its SLM lineup with new multimodal and mini Phi-4 models
  • CX Today: Microsoft has revealed that the company has implemented AI-powered agents for “thousandsâ€� of external and internal customers.
  • eWEEK: Microsoft’s Brad Smith Criticizes US AI Diffusion Rule: “Insufficient Supplyâ€� Will Drive Business to Chinese Vendors
  • GeekWire: Microsoft asks Trump to loosen chip export limits to avoid giving China an AI advantage
  • The Register - Software: Rule hamstringing our datacenters is 'gift' to Middle Kingdom, vice chair argues Microsoft would like the Trump administration to row back AI export restrictions introduced by his predecessor that affect countries where the cloud services giant has datacenters.…
  • OODAloop: Microsoft releases a Copilot app for Mac
  • TechCrunch: Microsoft Copilot gets a macOS app
  • ChinaTechNews.com: Microsoft calls on Trump to change 'overly complex' Biden-era AI chip restrictions
  • www.windowscentral.com: Salesforce CEO Marc Benioff brands Microsoft an "OpenAI reseller," criticizing its massive multi-billion dollar AI gamble: "We're not doing engineering efforts that may or may not have some kind of huge payoff"
  • Microsoft Copilot Blog: Leading in the era of AI: How Microsoft’s platform differentiation and Copilot empowerment are driving AI Transformation
  • Microsoft Copilot Blog: Over the past few months, Copilot has introduced a wave of exciting new features and enhancements. From expanded language support to unlimited Voice access for everyone
  • MarkTechPost: Microsoft AI Released LongRoPE2: A Near-Lossless Method to Extend Large Language Model Context Windows to 128K Tokens While Retaining Over 97% Short-Context Accuracy
  • SiliconANGLE: Microsoft to discontinue Skype after more than 20 years
  • CX Today: Microsoft has introduced two new preconfigured AI agents for sales teams. Announced during its AI Tour in London, the AI agents aim to support salespeople “right in the flow of workâ€�.
  • GeekWire: Microsoft announced two AI agents for sales that double as a competitive response to Salesforce in an area where both companies are placing big bets.
  • Digital Information World: UK’s Competition Watchdog Stops Investigation Into Microsoft’s Partnership with OpenAI - Digital Information World
  • eWEEK: UK Says OK to $13B Microsoft-OpenAI Deal.
  • techstrong.ai: Microsoft Corp. is testing artificial intelligence (AI) models to rival those of OpenAI that it could sell to developers in a move that could portend increased competition between the two allies. The software giant, which has pumped more than $13 billion into OpenAI, is developing models from OpenAI, Chinese AI startup DeepSeek, Meta Platforms Inc.
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