Microsoft (MSFT.O) has expanded its artificial intelligence offerings by making Chinese startup DeepSeek’s R1 AI model available on its Azure cloud computing platform and GitHub
This move marks a significant addition to Microsoft’s existing catalog of over 1,800 AI models available to developers.
“The AI model will be available in the model catalog on the platforms and will join more than 1,800 models that Microsoft is offering,” Microsoft stated.
DeepSeek’s R1 model, launched just last week, promises a more cost-effective and data-efficient alternative to existing AI assistants. Developers can now access the model on both Azure and GitHub, making it an attractive option for those seeking more affordable and resource-efficient solutions.
DeepSeek gains traction
DeepSeek’s AI assistant, by Monday, had surpassed the U.S.-based ChatGPT in downloads on Apple’s App Store, triggering a wave of concern among tech stock investors.
- This development also comes at a time when Microsoft is working to reduce its dependence on OpenAI, the maker of ChatGPT. Last month, reports indicated that Microsoft had been focusing on adding internal and third-party AI models to power its flagship Microsoft 365 Copilot product.
“Microsoft has been looking to reduce its dependence on ChatGPT maker OpenAI. The company has been working to add internal and third-party AI models to power its flagship AI product Microsoft 365 Copilot,” according to Reuters.
- To further address concerns around privacy and data-sharing, Microsoft has announced that customers will soon be able to run the R1 model locally on their Copilot+ PCs.
This feature is expected to alleviate concerns regarding data sharing and privacy risks associated with cloud-based models.
Data concerns
While DeepSeek’s R1 model has garnered attention, its ties to China have raised questions about its potential adoption in the U.S.
- The company has confirmed that it stores user information on servers located in China, which could present a challenge for U.S. users concerned about data security.
“DeepSeek has said it stores user information in servers in China, which could be a sticking point in its U.S. adoption,” the company stated.
- Meanwhile, both Microsoft and OpenAI are investigating whether data from OpenAI’s technology was accessed improperly by a group associated with DeepSeek.
Microsoft, OpenAI’s largest investor and technology partner, flagged the suspicious activity to OpenAI.
“If confirmed, such actions could constitute a violation of OpenAI’s terms of service or an attempt to bypass restrictions on data usage,” Bloomberg quoted the sources.
- Following this, OpenAI unveiled ChatGPT Gov, a tailored version of ChatGPT for U.S. government agencies to boost efficiency and productivity. It is designed to address complex public sector challenges in areas like health, infrastructure, and national security. Agencies can host ChatGPT Gov on Microsoft Azure, ensuring compliance with security and privacy standards.
Key features include GPT-4o, custom GPTs, and an admin console for managing users. Since 2024, over 90,000 users across government agencies have utilized ChatGPT for tasks like research, translation, and administrative support. OpenAI aims to enhance government services and foster public trust in AI technology.
