Summary:
- OpenAI and Microsoft have defined AGI achievement through a $100 billion profit milestone, shifting away from traditional cognitive-based definitions of artificial general intelligence.
- Once OpenAI reaches the AGI threshold, Microsoft will lose access to OpenAI’s new technologies, a provision designed to prevent concentration of AI power in a single corporation.
- Microsoft has invested $13 billion in OpenAI but is now developing its own AI models for Microsoft 365 Copilot, indicating a strategic move toward independence.
- OpenAI is considering removing the AGI clause and transitioning from nonprofit to for-profit status, while facing significant computing costs and seeking new investments.
A groundbreaking revelation has emerged about how tech giants Microsoft and OpenAI quantify artificial general intelligence (AGI). Leaked documents reveal that both companies have agreed to define AGI achievement through a purely financial metric – when OpenAI develops AI systems capable of generating $100 billion in profits.
The unconventional definition, established in their 2023 agreement, marks a significant departure from traditional interpretations of AGI, which typically focus on machines matching or surpassing human cognitive abilities across various tasks. This profit-based benchmark appears far from imminent, as OpenAI projects continued losses through 2029.
The agreement contains a crucial stipulation: once OpenAI reaches this AGI threshold, Microsoft will lose access to OpenAI’s advanced technologies. This provision was originally intended to prevent the concentration of powerful AI capabilities within a profit-driven enterprise.
The partnership dynamics between the two tech giants have grown increasingly complex. Microsoft has invested over $13 billion in OpenAI, securing exclusive cloud service provider status. However, recent developments indicate a shifting landscape. Microsoft has begun developing in-house language models for its Microsoft 365 Copilot, suggesting a strategic move to reduce dependence on OpenAI.
OpenAI’s financial trajectory presents significant challenges. The company faces projected computing costs of $5.4 billion through 2024, with expenses expected to rise substantially in coming years. “When we started, we had no idea we were going to be a product company or that the capital we needed would turn out to be so huge,” stated Sam Altman, OpenAI’s CEO, at the recent DealBook Summit.
Recent reports indicate that OpenAI is considering removing the AGI clause from its Microsoft contract to attract additional investments. This potential modification comes as OpenAI transitions from its original nonprofit structure to a for-profit model, having recently secured a $6.6 billion funding round that valued the company at $157 billion.
The relationship between these tech powerhouses continues to evolve, with both parties reassessing their positions in the rapidly advancing AI landscape. As OpenAI explores new funding avenues and Microsoft develops independent AI capabilities, their shared definition of AGI stands as a testament to the increasingly commercial nature of artificial intelligence development.
