Microsoft’s AI initiatves wouldn’t be derailed by OpenAI suit, says Macquarie

Macquarie analyst Frederick Havemeyer tells investors in a research note that the firm does not see near-term risk to Microsoft’s commercialization of GPT-3.5 or GPT-4 as a result of Elon Musk suing OpenAI. The firm, which made no change to its Outperform rating or $455 price target on Microsoft shares, says the lawsuits add a measure of near-term risk to Microsoft’s OpenAI services and Copilot products in the event courts rule against OpenAI or Microsoft. If Microsoft loses access to GPT-4 due to any of the cases, it would likely set its Copilot product roadmap back, but it would derail its AI product initiatives, the firm argues.