Microsoft Tells Sales Team to Prioritize In-House AI Models Over Rivals OpenAI, Google, and Anthropic
Microsoft has reportedly instructed its sales team to prioritize its own in-house AI models over rival offerings from OpenAI, Google, and Anthropic as part of its fiscal 2027 strategy. Executive Vice President Jay Parikh emphasized selling the 'full end-to-end system.' Copilot chief Jacob Andreou compared Copilot unfavorably to Anthropic's Claude, noting it was slower and less accurate but had stronger Office app integrations. The shift follows Microsoft ending OpenAI's exclusivity in April and replacing OpenAI/Anthropic models in Word and Excel to reduce costs. CEO Satya Nadella warned that using third-party AI forces companies to 'pay for intelligence twice' and exposes business knowledge. Meta also signaled plans to undercut rivals with lower API pricing. Microsoft's stock has dropped 21.75% over the past 12 months, with a market cap of $2.94 trillion.
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