Microsoft CEO Nadella: AI is Like the Internet, Creating Waves and Changing Rules
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On August 18, it was reported that Microsoft's focus on artificial intelligence (AI) technology and its investment of over $10 billion in OpenAI is no coincidence. The company's CEO, Satya Nadella, believes that AI's impact on the company and the entire industry will be as significant as the internet wave.
Back in 1995, Microsoft co-founder Bill Gates issued a memo describing the internet as a 'wave' that was critical to every part of the company's business. He wrote at the time: 'The internet is a wave that changes the rules. It's a once-in-a-century opportunity and an incredible challenge.'
Nearly two decades later, Microsoft's current leader, Nadella, stated that he believes AI's impact will be just as profound as the internet. In a recent interview, Nadella said: 'I feel the same way about Gates' 1995 memo. I think the AI wave will be just as big as the internet wave.'
At the core of Microsoft's latest transformation effort is OpenAI. The startup's generative AI technology has generated significant buzz, even securing a $13 billion investment from Microsoft.
OpenAI CEO Sam Altman said: 'Our relationship (with Microsoft) is great, which is very different from the usual difficulty of collaboration between tech companies. This is a great example of cooperation, and we are deeply grateful for it.'
However, Microsoft's partnership with OpenAI has also drawn criticism. The loudest critic is Tesla CEO Elon Musk, who co-founded OpenAI but later left due to disagreements over its direction and the addition of a for-profit division. Musk has claimed that OpenAI is now 'effectively controlled by Microsoft.'
When asked about Musk's criticism and the possibility of Microsoft acquiring OpenAI, Altman responded: 'Our company is not for sale, and I’ve made that very clear!'
Just as Netscape inspired Gates' internet memo, OpenAI's creation and Microsoft's support for it were partly driven by concerns about Google dominating the AI field. Both OpenAI's ChatGPT and Microsoft's Bing chatbot architectures trace their roots to Google. Although Google remains competitive in AI, Microsoft and OpenAI are seen as early leaders.
Of course, after Gates issued his memo, Microsoft's web browser pushed Netscape out of the market and triggered an antitrust lawsuit from the U.S. government. In the AI space, Altman said OpenAI's position is far from settled. He noted: 'There’s not just competition in AI—I think this might be the most competitive area in the tech industry right now.'
A Microsoft spokesperson stated that the company welcomes discussions with governments to ensure competition in the AI field continues. In his interview, Nadella cautioned that AI's true impact remains to be seen.
He said: 'People in the tech industry love to exaggerate. What motivates me is the desire to use this technology to do what tech professionals are pursuing—making it more accessible to people.'