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Home Cloud Computing

Microsoft and Elon Musk’s xAI Team Up to Bring Grok to Azure

Sam Marten – Tech & AI Writer by Sam Marten – Tech & AI Writer
May 6, 2025
in Cloud Computing
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Microsoft and Elon Musk’s xAI Team Up to Bring Grok to Azure
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Introduction to Microsoft and Grok AI

Microsoft is preparing to run Elon Musk’s Grok AI model on its cloud platform Azure, according to a source familiar with the company’s internal discussions. This move is part of Microsoft’s efforts to expand the range of AI models hosted on Azure. Engineers at Microsoft have been directed to ready the company’s infrastructure in case a deal with Musk’s xAI moves forward.

What is Grok AI and Azure AI Foundry?

The Grok model would likely be added to Azure AI Foundry, a development platform that offers tools, pre-built models, and services for creating AI applications. If the integration proceeds, it could make Grok accessible to developers building their own software and to internal Microsoft teams. Microsoft has steadily expanded the range of AI models hosted on Azure, including some that compete directly with offerings from OpenAI, a long-time Microsoft partner.

Microsoft’s AI Strategy

Microsoft CEO Satya Nadella has been closely involved in these efforts, pushing for Azure to become a go-to platform for hosting a wide variety of AI models. The infrastructure team has been tasked with ensuring the cloud service can keep up with the technical demands of new and emerging AI tools. In a previous interview, Asha Sharma, corporate vice president of Microsoft’s AI platform, spoke about how Azure AI Foundry is being shaped to support the backend systems required for a growing number of AI agents.

Potential Collaboration and Implications

While Microsoft may be looking to host Grok, xAI has previously indicated a preference for keeping model training in-house. Musk reportedly backed out of a $10 billion deal with Oracle in 2023 and suggested at the time that xAI would train its models using internal infrastructure. It’s unclear whether Microsoft would secure an exclusive arrangement to host Grok or if other cloud providers might also be involved. Based on current information, Microsoft’s role would likely be limited to model hosting, not training.

Relationship with OpenAI and Future Plans

The relationship between Microsoft and OpenAI also remains under scrutiny. Earlier this month, OpenAI filed a countersuit against Musk, accusing him of using delaying tactics in bad faith. Tensions have been mounting between the two since Musk’s exit from the organisation he helped found. Microsoft had been expecting the release of OpenAI’s GPT-5 model this month, but recent delays related to new feature rollouts and increased use have reportedly shifted that timeline.

Conclusion

Adding Grok to Azure would be in line with Microsoft’s broader strategy to offer a diverse range of AI models. GitHub Copilot, which is owned by Microsoft, already supports models from Anthropic and Google alongside OpenAI. This could eventually lead to a future where users can choose between multiple AI models in Microsoft’s developer tools and platforms.

FAQs

  • What is Grok AI and how is it related to Microsoft?
    Grok AI is an AI model developed by Elon Musk’s xAI, and Microsoft is preparing to run it on its cloud platform Azure.
  • What is Azure AI Foundry and how does it relate to Grok AI?
    Azure AI Foundry is a development platform that offers tools, pre-built models, and services for creating AI applications, and Grok AI would likely be added to it if the integration proceeds.
  • What is the current relationship between Microsoft and OpenAI?
    The relationship between Microsoft and OpenAI remains under scrutiny, with tensions mounting since Musk’s exit from the organisation he helped found.
  • What are the implications of Microsoft hosting Grok AI on Azure?
    Hosting Grok AI on Azure would be in line with Microsoft’s broader strategy to offer a diverse range of AI models and could lead to a future where users can choose between multiple AI models in Microsoft’s developer tools and platforms.
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Sam Marten – Tech & AI Writer

Sam Marten – Tech & AI Writer

Sam Marten is a skilled technology writer with a strong focus on artificial intelligence, emerging tech trends, and digital innovation. With years of experience in tech journalism, he has written in-depth articles for leading tech blogs and publications, breaking down complex AI concepts into engaging and accessible content. His expertise includes machine learning, automation, cybersecurity, and the impact of AI on various industries. Passionate about exploring the future of technology, Sam stays up to date with the latest advancements, providing insightful analysis and practical insights for tech enthusiasts and professionals alike. Beyond writing, he enjoys testing AI-powered tools, reviewing new software, and discussing the ethical implications of artificial intelligence in modern society.

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