Microsoft’s dependence on OpenAI benefits Google, says Okta CEO
NEW JERSEY, UNITED STATES — Todd McKinnon, CEO of cybersecurity firm Okta, believes that Microsoft’s dependence on OpenAI for its artificial intelligence (AI) research and development (R&D) could benefit its competitor, Google.
In an interview with CNBC, McKinnon stated that Microsoft is essentially outsourcing all of its premier AI R&D efforts to OpenAI. He contrasted this with Google’s approach, noting that Google’s AI R&D efforts are more organic and based on pioneering research that has led to the current advancements in generative AI technologies.
McKinnon highlighted that the foundational transformers, which power generative AI and large language models (LLMs), originated from Google’s research.
“This all came from Google, with DeepMind and the research,” McKinnon said. “The breakthrough was the research from Google, the transformers which are the algorithm that all these LLMs are using to make these big advancements.”
“This all came from Google, with DeepMind and the research,” McKinnon said. “The breakthrough was the research from Google, the transformers which are the algorithm that all these LLMs are using to make these big advancements.”
Microsoft as an AI ‘consultancy’
McKinnon expressed concerns that Microsoft’s role in AI could be reduced to that of a consultancy due to its heavy reliance on OpenAI.
“Imagine working at Microsoft. OpenAI is over there making all the exciting stuff. It’s almost like Microsoft is going to turn into a consulting company,” he remarked.
Microsoft has invested billions into OpenAI, with its total investment reportedly reaching $13 billion. This partnership has led to the integration of OpenAI’s technology into Microsoft’s top products, such as the generative AI chatbot CoPilot and PCs equipped with generative AI software.
Google’s AI challenges and investments
Despite McKinnon’s praise for Google’s foundational AI research, he acknowledged that Google faces significant challenges in achieving commercial success with its AI investments.
Google’s AI efforts previously encountered public blunders, such as the Gemini AI chatbot giving incorrect answers and creating ahistorical images, leading to the temporary removal of its image generator tool.
McKinnon noted that AI development requires substantial backing from major tech giants, contrasting it with previous technology cycles like personal computers and cloud computing.
“There’s no new AI model that’s like a toy. The only reason OpenAI can get it working is because the great R&D that they needed — $10 billion from Microsoft, to run the model — that wasn’t like a disruptive thing, that was a $10 billion investment,” he explained.
Future of AI and regulation
McKinnon also highlighted potential competition concerns due to the massive investments by Big Tech into AI. He warned that issues such as disinformation could stunt technological progress and lead to stringent regulations.
“I actually expect the swing of regulation to go so far that we leave only the biggest, most powerful companies in control of AI,” he added.
