Microsoft is now weighing legal action against Amazon and OpenAI over a $50 billion cloud deal that could undermine its exclusive partnership with the ChatGPT maker. At the heart of the clash are the two technical terms: ‘stateful’ and ‘stateless’. According to a report by Financial Times, under Microsoft’s agreement with OpenAI, all access to the startup’s models must be routed through Azure, a deal that has driven record cloud revenues. However, Amazon and OpenAI are developing a system called a Stateful Runtime Environment (SRE) on AWS’s Bedrock platform. This system would enable OpenAI’s new product, Frontier, to run with memory and context essentially ‘stateful’ access and on the other hand Microsoft insists that the contract needs even these interactions to go through Azure.
Microsoft’s dispute with Amazon and OpenAI
As per the FT report, the executives at Microsoft are of the opinion that ion that Amazon’s workaround is not technically feasible and…
