Microsoft to Eliminate Costs to Anthropic with In-House AI Models

Microsoft aims to eliminate its payments to Anthropic. The company announced seven new in-house AI models at Build, including MAI-Thinking-1, which matches Claude Opus 4.6 on a coding benchmark at lower cost. Suleyman said millions of dollars are spent annually on AI tokens across Microsoft. Microsoft claims to outperform OpenAI's GPT 5-5 with 10 times better cost efficiency. Microsoft is discussing use of in-house models with Adobe.