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Microsoft is openly competing with OpenAI, Anthropic more than ever

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Microsoft is in a unique position as AI overtakes the tech industry. It’s one of the world’s largest cloud providers and software-as-a-service companies, while also holding valuable stakes in the two biggest AI labs, OpenAI and Anthropic.

Those incentives are starting to clash as Microsoft posts blockbuster financial results. The company just reported an extremely profitable quarter with $90 billion in revenue and net income of $35.8 billion. For the fiscal year, which ended June 30, Microsoft reported $331.8 billion in revenue with a net income of $133.7 billion for the year.

And CEO Satya Nadella is not about to let the trajectory of Anthropic and OpenAI — which are expanding into applications and agentic infrastructure that could ultimately let them own customer relationships — derail that kind of cash.

Nadella has been preaching to enterprises to use multiple models and to stop relying on the frontier AI labs for the agentic harness/app layer.

Doing so is dangerous, he’s been saying, because it requires companies to share too many of their internal secrets with model makers of dubious trustworthiness. He knows his customers. Enterprise IT fears both data leaks and being locked into a vendor.

Now he has openly told Wall Street analysts during the company’s quarterly conference call Wednesday that this is an opportunity for Microsoft to sell customers its own homegrown models, alongside agents, AI security and more, while promising lower costs.

In other words, he’s pitching Microsoft as an alternative to many of the upscale services that OpenAI and Anthropic are developing for their own growth.

When UBS analyst Karl Keirstead specifically asked Nadella to weigh in on the open vs. closed-sourced debate roiling the AI industry, and how Microsoft will benefit from it, Nadella came out swinging.

“The goal is to have the firm be in control of their own destiny,” the CEO said of enterprises. “We are very, very clear about the architectural sort of design of the platform, which is you got to keep your harness separate from the model … that means any model at any given time is swappable.”

Microsoft, of course, sells a menu of harnesses (aka AI agents), too, under the Copilot name, including its coding agent GitHub Copilot. Coding agents are where much of the AI dollars are being spent today.

And he used the high-profile incident from last week as proof of his warnings.

“If you look even at the Hugging Face incident, the biggest thing that we should take away from that is you can’t sort of depend on any one model,” Nadella said. “You will maybe need multiple models to even remediate some challenges that get caused by one model. Like that’s the way to think about it, right? Which is you can’t be subject to a refusal of one model.”

The incident involved an unreleased model from OpenAI breaking out of its sandbox and successfully mounting a full-scale hack on Hugging Face, all in pursuit of besting a benchmark. Trying to understand what happened, Hugging Face at first tried to use a private frontier model (which it hasn’t named) that refused to help it. So it turned to the Chinese open-source model Z.ai GLM 5.2 to analyze logs and defend its infrastructure. The incident has so shocked the industry that even Sam Altman is now saying that maybe AI development should slow down a bit.

Nadella also made clear that Microsoft is happily selling its own homegrown models, the MAI family, on its own homegrown AI chips, Maya, and pitching them as cheaper alternatives.

“Every customer wants the right model for each task based on quality, latency, cost, and compliance. We offer the broadest model catalog in the cloud with over 11,000 models, including the leads from OpenAI, Anthropic, Mistral, xAI, as well as our own MAI family,” he said.

He added: “We’re also accelerating our own model development. We announced more than a dozen new models across image, voice, transcription, coding, security, including our first reasoning model, MAI thinking one, all with cost-efficient inference at the core for the enterprise use cases. We are co-designing these models with our silicon, and we are seeing 40% better performance per watt when running MAI models on Maya 200.”

As for Mythos? Nadella pointed to Microsoft’s new Mythos competitor announced earlier this week, MAI Cyber One Flash. It “achieves better performance than the much larger Mythos model, but at half the cost when combined with our multi-agent security harness,” he said.

Sure, the Microsoft CEO says that enterprises should use the frontier models that OpenAI and Anthropic offer in their mix. But his bigger message is: don’t trust them enough to rely on them.

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Resident Doctors Issue Final Deadline, Threaten Nationwide Strike From Aug. 10

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By Abdullahi Maku

The Nigerian Association of Resident Doctors (NARD) has threatened to commence a total and comprehensive nationwide industrial strike on Aug. 10 if the Federal Government fails to address its outstanding demands.

The resolution was contained in a communique issued at the end of the association’s July National Executive Council (NEC) meeting which began on Sunday in Gombe and made available to the News Agency of Nigeria (NAN) on Thursday night.

The communiqué was jointly signed by the NARD President, Dr Mohammad Suleiman; the Secretary-General, Dr Shuaibu Ibrahim; and the Publicity and Social Secretary, Dr Abdulmajid Ibrahim.

The association said the decision followed a review of the implementation of previous resolutions and engagements with the Federal Government, expressing dissatisfaction with the pace of compliance on several welfare and professional issues affecting resident doctors.

It said although the Federal Government had successfully disbursed the 2026 Medical Residency Training Fund (MRTF) to eligible resident doctors, several critical issues remained unresolved.

“The NEC resolved to embark on a Total and Comprehensive Industrial Strike (TICS) commencing at 8:00 a.m. on Monday, August 10, should the Federal Government fail to satisfactorily address the outstanding issues contained in this communique before the expiration of the stipulated timeline.”

NARD said it remained concerned over the delay in the payment of the outstanding 25/35 per cent Consolidated Medical Salary Structure (CONMESS) upward review arrears, 19 months’ Professional Allowance arrears and promotion arrears owed to doctors in several federal health institutions.

The association further expressed concern over persistent welfare challenges affecting house officers, including delayed salary payments, unpaid arrears, internship placement bottlenecks and prolonged onboarding processes.

It also described the persistent assault, harassment, intimidation and violent attacks against doctors while on duty as barbaric and unacceptable, calling for urgent legislative measures to criminalise assaults on healthcare workers nationwide.

The association said negotiations on the Medical and Health Workers’ Collective Bargaining Agreement remained unsatisfactory and called for its accelerated conclusion, signing and implementation.

It also urged the Federal Ministry of Health and Social Welfare to conclude the work of the ministerial committee on excessive workload, prolonged call duty hours, casualisation of medical doctors and abusive locum appointments, and implement its recommendations without further delay.

The association also demanded the immediate payment of all outstanding salary and promotion arrears across federal health institutions and urged government to resolve welfare challenges affecting house officers.

It further called for the rehabilitation and upgrading of public health infrastructure nationwide through the provision of modern medical equipment, improved maintenance of facilities, uninterrupted electricity supply and better working conditions for healthcare workers.

According to NARD, governments at both federal and state levels should increase investment in healthcare, strengthen primary healthcare services, accelerate the implementation of Universal Health Coverage and recruit and retain adequate healthcare personnel.

“The NEC reaffirmed its commitment to constructive engagement and dialogue but reiterated that the welfare of resident doctors and the survival of Nigeria’s healthcare system remain non-negotiable.”

The association also urged the Federal Capital Territory Administration to implement the Professional Allowance Table, settle outstanding CONMESS review arrears and other entitlements owed to doctors.

NARD, however, commended the Federal Government for disbursing the 2026 MRTF to eligible resident doctors, the Federal Character Commission for resolving manpower challenges through timely issuance of compliance letters, and the Federal Ministry of Health and Social Welfare for intervening in the industrial dispute involving resident doctors at OAUTHC, Ile-Ife.

It also commended the governors of Osun, Kaduna, Oyo, Rivers and Plateau States for improving doctors’ welfare, infrastructure, manpower development and working conditions in their respective states.

NAN reports that NARD had, at its E-NEC meeting in June, extended by four weeks an earlier 21-day ultimatum issued to the Federal Government over unresolved welfare and professional concerns.

The association had warned that it would activate the process leading to industrial action if government failed to substantially address the issues within the additional four-week period.(NAN)(www.nannews.ng)

Edited by Folasade Akpan

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2027: You have the power to ensure credible elections – Peter Obi to Nigerians

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The presidential candidate of the Nigeria Democratic Congress, NDC, for the 2027 general election, Mr. Peter Obi, has said that the power to ensure credible elections lies with the Nigerian people, insisting that the Independent National Electoral Commission, INEC, will only act according to the resolve of the electorate.

Obi spoke with journalists on Friday after attending the burial service of the late Pa Simon Okorie Abaa, father of the NDC senatorial candidate for Ebonyi South, Chief Linus Okorie, at Isiama Primary School, Onicha Igboeze, in Onicha Local Government Area of Ebonyi State.

Speaking on preparations for the 2027 general election, Obi said his confidence was not in INEC alone but in Nigerians’ determination to defend their votes.

“It is not about confidence in INEC. Do I still have confidence in the people? Because it is the people that will determine what INEC will do. If the people insist that their votes will count, their votes will count.

“It is for Nigerians to look at what is happening in the country today and ask themselves what the future holds for our children in this enterprise called Nigeria. Are we going to continue in this direction? Anybody talking about changing Nigeria today is making the ultimate sacrifice because we cannot continue like this,” he said.

The former Anambra State governor lamented the worsening economic situation, saying poverty and hunger had reached alarming levels.

“Every day poverty is increasing. Every day hunger is increasing. You don’t even need World Bank reports to know this because you can see it in the villages.

“They are saying that about 70 million Nigerians are facing acute hunger. What are we going to do about it? Are we going to continue like this? No. That is not possible,” he added.

On concerns that opposition supporters may face intimidation and harassment during the elections, Obi said Nigerians were already suffering from economic hardship.

“For me, every Nigerian is already being harassed by hunger. People are being harassed by the worsening situation in the country. Everybody is affected.

“It is time for Nigerians to tell those who are harassing us that enough is enough,” he said.

Obi described his relationship with Linus Okorie as longstanding, recalling that they had worked together in the Labour Party before joining the NDC.

“We have worked together before in the Labour Party and now we are in the NDC. That shows we have a close relationship. We are here today to pay our last respects to his late father.

“I pray that God Almighty, who gave Papa a long life and has now called him home, will grant him eternal rest and give the family and all of us the fortitude to bear this irreplaceable loss. May God continue to bless the family.”

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