Vodafone Agreed a Deal with Microsoft Worth 1.5 Billion Dollars

British telecommunications giant Vodafone has entered into a ten-year partnership with US technology leader Microsoft, aiming to advance the development of generative artificial intelligence (AI), cloud computing services, and other digital and business services. This collaboration targets over 300 million customers, businesses, and consumers in European and African markets.

Vodafone plans to invest $1.5 billion in developing user-focused artificial intelligence. This investment will leverage technologies from Microsoft Azure, Open AI, and Copilot. It also includes replacing physical data centres with Azure’s more cost-effective and convenient virtual storage, as CNBC reports.

In response, Microsoft plans to inject capital into Vodafone’s Internet of Things (IoT) platform. By April 2024, this platform will become a separate business entity within Vodafone. The IoT encompasses a network of interconnected physical objects, such as devices, vehicles, home appliances, and industrial equipment, through the Internet. These objects can exchange data and communicate, creating a more integrated digital ecosystem.

New York Times Sues OpenAI and Microsoft for Copyright Infringement

In related news, The New York Times has initiated a lawsuit against OpenAI, the creator of ChatGPT, citing copyright infringement. This legal action, involving Microsoft, claims “billions of dollars” in damages. The BBC reports that large language models like ChatGPT train by analyzing vast amounts of internet data. The lawsuit alleges that “millions” of NYT articles were used without authorization to enhance ChatGPT’s capabilities.

The complaint also points to instances where ChatGPT allegedly produces “verbatim excerpts” from NYT articles, typically accessible only through subscription. This allows readers to access NYT content at no cost. Moreover, Microsoft faces accusations for its Bing search engine, partly powered by ChatGPT, which allegedly displays results from NYT-owned websites without proper attribution or links, bypassing potential revenue streams. Microsoft’s investment in OpenAI exceeds $10 billion.

The New York Times filed the lawsuit in federal court in Manhattan on Wednesday. Before taking legal action, the NYT claims it sought an “amicable resolution” with Microsoft and OpenAI in April but without success.