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Windows Central
Windows Central
Technology
Sean Endicott

Microsoft launches seven in‑house AI models to cut developer costs and reduce reliance on OpenAI

Microsoft CEO Satya Nadella gestures as he speaks during the World Economic Forum (WEF) annual meeting in Davos on January 20, 2026.

Microsoft's expansion into more layers of the AI landscape will put pressure on OpenAI, Anthropic, and Google. It should also give developers more options and reduce how much it costs to use AI.

Microsoft announced seven in-house models during Build 2026, though some of them are variants of the same bases. The flagship model is MAI-Thinking-1, which is the company's first reasoning model.

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