Microsoft and OpenAI tweak the terms of their cloud deal

Plot twist for 微软 and OpenAI : Microsoft will no longer be the exclusive provider of new cloud computing capacity to OpenAI, clearing the way for the AI startup to work with Oracle and others on a $500 billion Stargate AI infrastructure project announced Tuesday at the White House. Microsoft said nothing else about its relationship with OpenAI will change. (Above: OpenAI's Sam Altman and Microsoft's Satya Nadella at OpenAI DevDay in 2023.) Read more.

• Meanwhile, as Elon Musk expressed doubts about the funding for Stargate, Microsoft CEO Satya Nadella told CNBC, “All I know is, I’m good for my $80 billion,” referencing Microsoft’s capital expenditure budget for this fiscal year. (Morning Brew)

Got an idea for an AI project in public health, education, sustainability, or humanitarian action? Microsoft’s AI for Good Lab launched an open call for projects in its home state of Washington, offering a total of $5 million in cloud grants in connection with its 50th anniversary. Read more

Smartsheet is officially a private company again as the Bellevue, Wash.-based enterprise software giant completed its $8.4 billion acquisition by Blackstone and Vista Equity Partners . Read more.

New fundings:

• Glue , a new startup that automates hardware testing, raised $2 million in a pre-seed round. The company formed out of a collaboration between industrial giant Fortive and startup studio Pioneer Square Labs .?
• Seattle-based Ro Health , which provides health services for special needs students, landed new backing from L.A. private equity firm LightBay Capital .?

AI’s perception of teenagers features strong negative associations, according to a new 美国华盛顿大学 study which found that models rely on often sensational media coverage as training data. Read more.

New findings from the Allen Institute in Seattle and other researchers shed light on how the location of certain cells in the small intestine changes the immune system. Read more.

Hot Links:

• Satya Nadella has an idea for measuring the efficiency of AI models. The Microsoft CEO discusses his tokens per watt per dollar framework. (Nicholas Thompson via LinkedIn)
• The founder of Convoy explains how generative AI changes everything when it comes to convincing industry participants to abandon offline or legacy systems. (Dan Lewis via LinkedIn)

• Bluesky Social has enjoyed a rapid rise to 25 million users as an alternative to Elon Musk’s X. Just don’t call it a Seattle social media company. (Cascade PBS)
• World’s best spreadsheeter? That title was on the line at the Microsoft Excel World Championship in Las Vegas, an e-sports-style competition for office software nerds. (The New York Times)
• Bill Gates -backed TerraPower has a new MOU with Sabey Data Centers , a data center developer and operator, to explore the possibility of building its small modular nuclear reactors at Sabey facilities. (TerraPower)

SPONSOR MESSAGE: Microsoft@50, a special event marking Microsoft’s 50th anniversary. GeekWire is hosting a special community event on March 20, 2025, at Town Hall Seattle, bringing together key leaders from Microsoft’s past and present to examine the impact of the Redmond technology giant. Together, we’ll revisit defining moments, explore new challenges, and get a glimpse into what lies ahead for one of the world’s most influential companies. Early-bird tickets are on sale here.

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