Post by highskier on Jul 18, 2023 16:36:44 GMT
The stk is having an above ave vol pop on the news.
Microsoft’s New Corporate AI Products Will Come With A Hefty Price Tag
Dina Bass
Tue, July 18, 2023 at 11:53 AM EDT(Bloomberg) -- Microsoft Corp. said new corporate artificial intelligence tools that work with Office software, called Microsoft 365 Copilot, will cost $30 per user per month on top of what most business customers already pay.
Microsoft has been testing Microsoft 365 Copilot, which uses data from the internet as well as a company’s own internal information, with about 600 customers, including General Motors and Goodyear. Copilot will be offered for subscription plans that currently range in price from $12.50 to $57 a user each month. Microsoft didn’t say when Copilot, which is based on technology from artificial intelligence startup OpenAI, will be broadly available.
The pricing announced Tuesday at Microsoft’s partners conference, reflects strong demand for corporate AI products and the cost of running them. Microsoft cloud and AI Chief Scott Guthrie told Bloomberg Businessweek in May that his inbox has been inundated with CEOs asking for access. Microsoft’s Chief Financial Officer Amy Hood has said the company’s new AI products will become the software company’s fastest business to hit $10 billion. Still, these kinds of services require expensive computer chips and intense cloud-computing power to do things like answer questions, analyze spreadsheets, generate slide shows and predict future business issues.
The shares jumped on the news, gaining as much as 3.8% to $358.95 in New York, a record intraday high for the stock.
The company Tuesday also previewed a more confidential Bing search engine chat for corporate customers that is included in various versions of Microsoft 365 for business and will be offered as a stand-alone subscription for others at $5 per user, per month. The enterprise version protects private corporate data so that companies can let employees put in confidential information.
The company is also rolling out previously announced visual search features in Bing Chat, which let users upload images and ask questions about them or search for related information.
The shares jumped on the news, gaining as much as 3.8% to $358.95 in New York, a record intraday high for the stock.
The company Tuesday also previewed a more confidential Bing search engine chat for corporate customers that is included in various versions of Microsoft 365 for business and will be offered as a stand-alone subscription for others at $5 per user, per month. The enterprise version protects private corporate data so that companies can let employees put in confidential information.
The company is also rolling out previously announced visual search features in Bing Chat, which let users upload images and ask questions about them or search for related information.