Tech

Microsoft Uses Own MAI Tech To Replace OpenAI, Anthropic In Office Apps

Tech desk
NRI HeraldJuly 8, 2026
3 min read
Microsoft logo and building at dusk, highlighting the tech company's presence.

Microsoft has begun replacing AI models from OpenAI and Anthropic with its own MAI technology across several key products, including Excel, Outlook, and GitHub Copilot. The move is part of a broader effort to reduce the company's reliance on external AI providers and lower operational expenses.

The transition affects features that previously relied on models such as GPT-4 from OpenAI and Claude from Anthropic. Microsoft has been developing MAI as an in-house alternative, aiming to achieve comparable performance while maintaining greater control over its AI infrastructure.

According to sources familiar with the matter, the shift has been underway for several months and is expected to continue across other Microsoft 365 applications. The company has not disclosed the specific cost savings, but internal assessments indicate that MAI models are significantly cheaper to run than their external counterparts.

The change comes as Microsoft faces increasing pressure to manage expenses related to its heavy investment in AI. By using its own models, the company can reduce licensing fees and improve integration with its existing cloud services.

Microsoft has not made an official announcement about the replacement, and it remains unclear whether the switch will affect the performance or user experience of the affected applications. The company has previously stated that it will continue to use a mix of models from various providers, including OpenAI, depending on the task.

Tech desk · July 8, 2026
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