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Microsoft chief turns hostile on frontier AI labs, signals firms to guard their IP

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The Royal Courts of Justice in London, whose buildings date back to the 1880s, house the High Court and Court of Appeal of England and Wales.

Lock it down, warns Satya Nadella, seemingly forgetting the billions Redmond chipped in to OpenAI back in the good old days.

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Summary

Seemingly unaware of the concept of irony, Satya Nadella is warning AI-using enterprises to take care not to give away their business secrets alongside the massive piles of cash they’re forking over to frontier labs every month. Writing in a long-form post on X over the weekend, the Microsoft CEO and chairman warned of what he called the “reverse information paradox,” a situation in which purchasers of AI pay for the intelligence product they’re getting twice: once with cash, and again “with something even more valuable,” namely the proprietary business knowledge one has to feed an AI model to make it worth using in the rare instance an AI investment pays off. “Over time, the information asymmetry becomes increasingly skewed,” Nadella noted.

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