Microsoft AI CEO Mustafa Suleiman speaks at an event highlighting Microsoft Copilot, the company’s AI tool, on April 4, 2025 in Redmond, Washington. The company also celebrated its 50th anniversary.
Stephen Brashear | Getty Images News | Getty Images
Microsoft It said Tuesday that it is bringing together engineering groups for its commercial and consumer CoPilot assistants, which have yet to see broad adoption.
Jacob Andrew, ex Snap An executive working in Microsoft’s artificial intelligence unit will become executive vice president of consumer and commercial experience to pilot, CEO Satya Nadella wrote in a memo to employees.
Andrew Nadella will report to him. Executives Ryan Roslansky, Perry Clark and Charles Lamanna will report to Nadella, who will lead Microsoft 365 applications and the Copilot platform, Nadella wrote.
Copilot moves to free executive Mustafa Suleiman, former co-founder of AI lab DeepMind. Google Purchased in 2014, to focus more on building new models.
Since arriving at Microsoft through an Inflection deal in 2024, Suleman has spent time working on Copilot for customers, among other initiatives. Microsoft’s Copilot app had 6 million daily active users in December, while ChatGPT had 392 million and Gemini 62 million, according to data from app analytics company Sensor Tower.
In November, Microsoft announced the creation of a superintelligence group under Sulaiman.
“The next step in this plan is to restructure our organization to focus all of my energy on our superintelligence efforts and be able to deliver world-class models to Microsoft over the next 5 years,” Suleman wrote in the memo. “These models enable us to build enterprise-tuned pipelines that help improve all of our products across the company.”
The models also allow Microsoft to gain better cost efficiencies, Suleman wrote.
He said he will be “directly involved in much of the day-to-day operations” of the broader Microsoft AI group, which includes products such as the Bing search engine.
“We are doubling down on our superintelligence mission and computing to build models that have real product impact, EVALs, COGS reduction, as well as advancing the frontier to meet industry needs and advance research,” Nadella wrote.
Microsoft combines generative AI models from Anthropic and OpenAI, but OpenAI’s own ChatGPT assistant is more widely used by consumers than Microsoft’s Copilot.
About 3% of commercial users with an Office productivity software subscription have access to the Microsoft 365 Copilot add-on. There is also of Google Gemini is helpful in fighting across the board.
The shake-up comes as pressure mounts on software companies to show returns on AI investments, as investors worry the software could pressure incumbents.
The iShares Broadened Tech-Software Sector Exchange-Traded Fund It’s down about 19% so far this year, while Microsoft is down 17% over that period.
Microsoft is building models for generating source code, images and audio, and for reasoning, which produces answers that people can find more thoughtful but require more time, Suleiman said. At the same time, Microsoft is drawing on OpenAI intellectual property. In October, Microsoft said it will own IP rights to OpenAI models and products through 2032.
“I’m really excited about this change because so much of the future value will be in the model layer, and my job is to create more COGS-optimized, more efficient enterprise-specific model lineages for Microsoft over the next three to five years,” Suleman said in an interview. “That’s singularly objective, precisely because the model is the product, right? That’s the future direction of all IP.”
Watch: Microsoft will shift from Open AI specialization and expand its AI basket
(tags to translate)Enterprise
