Dive Brief:
- Microsoft is reshaping its AI leadership structure with executive appointments and the creation of a division called Microsoft AI. The organization will focus on Copilot, related research and other consumer AI products, CEO Satya Nadella said in a blog post Tuesday.
- Several employees from AI startup Inflection will join Microsoft AI, along with two of its three founders: CEO Mustafa Suleyman and Chief Scientist Karén Simonyan. Suleyman will lead the organization as CEO and EVP, reporting to Nadella.
- Kevin Scott, CTO and EVP of AI at Microsoft, will continue leading the company’s comprehensive AI strategy, from system architecture designs to cross-company orchestration, the company said.
Dive Insight:
The update to Microsoft's AI leadership structure shows its intent to supercharge AI. The company is in the second year of its organizational shift to focus on the technology.
“We have been operating with speed and intensity and this infusion of new talent will enable us to accelerate our pace yet again,” Nadella said in his statement to employees.
Following Suleyman and Simonyan's departure, Inflection announced it will realign its strategy to focus on commercial customers, according to a Tuesday blog post.
“Our plan going forward is to lean into our AI studio business, where custom generative AI models are crafted, tested and fine-tuned for commercial customers,” the startup said.
Microsoft's talent grab reflects a broader battle for AI engineering skills.
The number of generative AI-related job postings rose from 3 in every 100,000 job postings to 11 in 10,000 in just over a year, according to an Indeed report.
Growing interest coupled with a lack of supply means companies are willing to pay a premium. Job seekers with generative AI skills receive an average salary boost of 47% compared to candidates without them, according to an Indeed report in February.
