Microsoft to Integrate xAI's Grok Models into Azure AI Foundry

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May 19, 2025
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Microsoft announced at the Build Developer Conference that it will integrate xAI's Grok 3 and Grok 3 Mini AI models into its Azure AI Foundry platform. This move highlights a closer partnership between Microsoft and xAI, despite Elon Musk's disputes with Microsoft’s major AI partner, OpenAI.

Azure AI Foundry is a platform within Microsoft Azure designed to assist developers in building and managing AI applications. It already features models like OpenAI's GPT-4, Meta's Llama 3, and Mistral, along with Microsoft's own small language models.

In a pre-recorded video, Elon Musk and Microsoft CEO Satya Nadella appeared together, discussing Musk's early relationship with Microsoft and his experiences in game development. Musk emphasized Grok’s core architecture, focusing on reasoning from first principles to achieve truth with minimal error.

Musk also highlighted AI safety, stressing the importance of transparency and integrity. He noted that Grok has been effective in real-world applications, particularly in customer service at SpaceX and Tesla, and expressed interest in expanding its services to other companies.

Meanwhile, Microsoft and OpenAI are reportedly renegotiating their multi-billion dollar partnership as OpenAI undergoes a corporate restructuring.

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I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.