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Cost Optimization

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Monday, 13 July 2026

Microsoft routes some Excel and Outlook prompts to internal models to cut inference costs

Rohan's Bytes 3 months ago 27 ● 3 sources

Microsoft is replacing OpenAI and Anthropic models with internal models in Excel and Outlook to reduce inference costs for its Copilot features. The company's AI head has stated the goal is to reduce and eventually eliminate dependence on external model providers whose pricing it cannot control. This shift allows Microsoft to lower expenses while maintaining functionality in widely-used productivity applications.

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