Microsoft Invests Billions In ChatGPT Firm OpenAI Days After Mass Layoffs

The announcement comes less than a week after Microsoft said it would lay off 10,000 employees in the coming weeks and redeploy investment to new priorities such as AI.

Microsoft on Monday said it had extended its partnership with OpenAI, the research lab and creator of ChatGPT, an artificial intelligence chatbot that has sparked widespread fears of cheating in schools and universities.

In a company blog post tweeted by CEO Satya Nadella, the tech giant announced a "multiyear, multibillion dollar investment to accelerate AI breakthroughs" that would be "broadly shared with the world."

OpenAI's ChatGPT became an internet sensation when it was released without warning in November, allowing users to experiment with its ability to write essays, articles and poems as well as computer code in just seconds.

With teachers alarmed by its ability, ChatGPT is banned in universities and school districts - including in New York City and Washington DC - and has sparked nervous debates about the future of office work.