Microsoft replacing OpenAI image models in PowerPoint, Bing

Microsoft has announced it will replace OpenAI's image-generation models in several of its products, including PowerPoint and Bing, with its own proprietary technology. The move affects users of these Microsoft services who previously relied on OpenAI's DALL-E models to create images from text prompts. This change matters because it signals Microsoft's shift toward reducing dependence on external AI providers and strengthening its in-house capabilities, potentially altering the competitive landscape of AI-powered tools. The transition began in recent weeks, with Microsoft gradually rolling out its own image generator, which is built on technology from its partnership with OpenAI but now operates independently. Microsoft has not disclosed specific dates for the full switchover, but the company has confirmed that the new models are already active in some regions. This decision follows Microsoft's broader strategy of integrating AI across its product suite, including its Copilot assistant, and comes amid growing scrutiny of AI safety and copyright issues. The next steps involve a phased global rollout, with Microsoft likely monitoring performance and user feedback before completing the replacement across all affected platforms.