Microsoft AI Model Beats OpenAI with Less Compute

Microsoft AI chief claims model outperforms OpenAI using 25% less compute.

Oct 16, 2026

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Microsoft AI Model Beats OpenAI with Less Compute

Microsoft AI chief claims model outperforms OpenAI using 25% less compute.

In brief

Microsoft AI chief claims model outperforms OpenAI using 25% less compute. Microsoft's MAI-Base-2 model beats OpenAI's GPT-5.6 with 25% less compute, using 12x less than DeepSeek. Originally reported by Startup Fortune.

Microsoft AI Model Outperforms OpenAI

Microsoft AI Model Outperforms OpenAI

Mustafa Suleyman says Microsoft's MAI-Base-2 model beats OpenAI's GPT-5.6 system.

25% Less Compute Used

MAI-Base-2 used about a quarter of the compute that OpenAI spent training its comparable system.

Direct Benchmarking

Microsoft privately benchmarked MAI-Base-2 against OpenAI model on pattern understanding tests.

12x Less Than DeepSeek

Microsoft's Mustafa Suleyman Says Anthropic's Claude Training Risks Disaster

MAI-Base-2 used 12 times less computation to reach comparable result with DeepSeek.

Microsoft's Financial Stake

Microsoft holds $135 billion stake in OpenAI Group PBC.

AGI Partnership Shift

Microsoft and OpenAI ended AGI clause partnership after 2026 agreement.

Economic Impact

Microsoft slashes AI transcription prices 72% with new MAI-Transcribe-2

Microsoft's inference margins on MAI-1 run near 100% gross vs 60-70% on OpenAI API.

The takeaway

Microsoft's MAI-Base-2 model beats OpenAI's GPT-5.6 with 25% less compute, using 12x less than DeepSeek.

Read the original on Startup Fortune

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