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Microsoft Shifts Strategy on Enterprise AI

Microsoft is mobilizing 6,000 employees in a new unit aimed at helping enterprise clients better utilize AI. Judson Althoff, CEO of Microsoft’s commercial business, discusses what is driving this move and what impact Microsoft hopes to see. He joins Ed Ludlow on “Bloomberg Tech.” ——– Like this video? Subscribe to Bloomberg Technology on YouTube:  …

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Microsoft is mobilizing 6,000 employees in a new unit aimed at helping enterprise clients better utilize AI. Judson Althoff, CEO of Microsoft’s commercial business, discusses what is driving this move and what impact Microsoft hopes to see. He joins Ed Ludlow on “Bloomberg Tech.”
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36 Comments

36 Comments

  1. @Chris-se3nc

    July 2, 2026 at 1:38 pm

    Oh boy you know we are towards the end of the road when Meta says it has too much compute and is throwing I the towel. And now AWS and MS need to push FDE to get AI across the finish line for clients.

    • @MrValz0

      July 2, 2026 at 3:27 pm

      It’s such a world changing technology that no one knows how to use it properly.

      Thank God Microsoft is sending 6000 disciples out to teach us what we’re doing wrong…

    • @russli-lv2yc

      July 3, 2026 at 6:36 pm

      1. meta did not say they have too much compute, they will never utilize all the clusters 100% of time for their internal uses cases. Selling them for outside use is logical. Think AWS, did that mean Amazon won’t use as much as compute? 2. AI use in enterprise is always going to be people embedded in the organization, doing training, fine tuning with the companies’ data. All this means is long hardware companies. Demand for compute is only going up. Plus you are forgetting, compute isn’t just for AI use. You still have traditional data analytics, cloud computing use cases.

  2. @antoinemorcos1321

    July 2, 2026 at 4:11 pm

    My god stop interviewing these marketing people saying nothing

    • @UnsaltedCashew38

      July 3, 2026 at 1:10 pm

      $100 bucks says this guy has an MBA in Marketing

    • @sumedhinamdar

      July 3, 2026 at 10:36 pm

      exactly 😅

    • @PatrickBateman12420

      July 4, 2026 at 3:21 am

      @UnsaltedCashew38 Send me $100. Answer: Mechanical Engineering.

  3. @IRLRetroGamer

    July 2, 2026 at 6:16 pm

    This is a great idea, I have been saying this for months now

  4. @LaurentPerche

    July 2, 2026 at 8:28 pm

    The amount of corporate BS that’s coming out of his mouth is staggering.

    “having the right talent that knows how to select the right model for the right task, for the right outcome at the right price point”

    No wonder Microsoft stock is down 25% in the last 12 month.

    • @UnsaltedCashew38

      July 3, 2026 at 1:08 pm

      His whole schpeel was fluff, I didn’t get a word of substance on what Microsoft is doing differently.

    • @russli-lv2yc

      July 3, 2026 at 6:48 pm

      What is wrong with that sentence? If you don’t understand it, well, maybe it’s you? Microsoft stock is down because of capex spending. The other side of the coin is hardware companies are making banks. If you know about machine learning and generative AI, you can tell this is going to be case since last year. And you would have made banks by overweight hardware companies and underweight all the hyper-scalers.

  5. @computron1

    July 2, 2026 at 9:27 pm

    If anyone hires these 6,000 consultants, they should hold Microsoft financially liable if their AI system fails to result in any measurable profit. The real problem here is that both Microsoft and AWS sold storage, but recently switched to selling magic and the magic isn’t working.

    • @ns2036

      July 4, 2026 at 5:56 pm

      thats not how it works

  6. @QuantumOud

    July 3, 2026 at 6:00 am

    Microsoft is focusing on the part that really matters: turning AI into real workflow improvements. I like the emphasis on domain expertise and change management, because that’s where enterprise adoption actually succeeds.

  7. @Vincentpresh

    July 3, 2026 at 7:38 am

    he is saying a lot of nothing

  8. @ExcelerateDevelop

    July 3, 2026 at 8:18 am

    What happens if they go into companies and help them realise this still get no benefit from AI?

    • @LoveYaJSR

      July 3, 2026 at 5:36 pm

      😂

    • @russli-lv2yc

      July 3, 2026 at 6:43 pm

      You probably have not seen AI then. For example, models like chatgpt can autonomously handle support cases, you will never have to wait in line for a support guy answering your calls. AI is just a form of computation, it is prediction, generative algorithms. For example, generative AI has issue with hallucinations, then you can write traditional code to solve that problem. You can combine generative machine learning with regular code. At its core, its digitalization of business processes. Generative AI is just one tool in the toolbox. Generative AI just expands what computers can do.

  9. @2.1cents

    July 3, 2026 at 1:41 pm

    I’m confused.

  10. @WalterVP-PNW

    July 3, 2026 at 2:09 pm

    Microsoft is an infrastructure company trying to manufacture application-layer proof after the market already bought the infrastructure story. The 6,000-person unit is not the product. It is a labor patch over the unresolved product gap: enterprises do not yet have a trusted Microsoft-native execution layer that turns AI intent into completed, auditable business outcomes.
    This is not Microsoft suddenly discovering enterprise AI demand. This is Microsoft discovering that AI demand is low-quality unless customers can operationalize it. The 6,000-person unit is a demand-quality repair mechanism for Azure, Copilot, Fabric, Dynamics, Security, and the broader AI CapEx narrative.

    • @andyskywalker1979

      July 5, 2026 at 2:58 am

      Brilliant! You nailed it. Half a dozen Copilot this and copilot that is not going to help. Every business unit of Microsoft will want a piece of the revenue pie from the use of their “part” in the customer use case. Microsoft should have restructured itself from a financial reporting point of view to align everyone to the same success metrics. Now these engineers are going to act as stealth sales teams to get people to use the 100s of things that Microsoft has it in P&L. The line items will be hilarious beyond the human consulting hours. The fact that human consulting hours will be billed to implement AI itself is hilarious. Unless all these 6000 people are cost of sales, this is not going to work.

  11. @kyleroberts5292

    July 3, 2026 at 3:04 pm

    isn’t this what entrepreneurs are supposed to be doing? Once a monopoly, always a monopoly.

  12. @TROUROCKS

    July 3, 2026 at 3:44 pm

    microslop

  13. @svierregger

    July 3, 2026 at 3:50 pm

    Gaslighting – this is about Microsoft desperately trying to find companies willing to pay for Copilot. Microsoft has invested billions but have only 3% paying Copilot customers. Companies have spoken but Microsoft isn’t listening.

  14. @matthewhair6110

    July 3, 2026 at 4:52 pm

    His hands say as much as his mouth says.

  15. @lilal0458

    July 3, 2026 at 8:21 pm

    Bro is a professional yapper 💀

  16. @humn_rights

    July 4, 2026 at 1:01 am

    Game changer.

  17. @EddiesGarage

    July 4, 2026 at 1:32 am

    Microsoft’s goal is to keep their clients tethered to its proprietary tech stack (Azure cloud + OpenAI/Copilot models) while Palantir provides the operating system and tools that allow their clients to build, own, and control their own brain. Windows vs. Linux OWN YOUR DESTINY!

  18. @nicholasc6876

    July 4, 2026 at 11:04 am

    Not a good sign if your world changing technology requires thousands of babysitters to explain to you the point.

  19. @enterpris-AR

    July 4, 2026 at 7:22 pm

    🤦‍♂️…none of these people are implementers in any kind of business. Nor do they work with daily on going business data. I do both: work with business data and am on our AI team for a Fortune 500. 🤣 get real idiots it will take us at least 2 years to clean up our data to even use Ai. Then at least another 2 to buy hardware and get it implemented. And apparently their to stupid to cross reference the fact the with closed borders the US fertility rate is below replacement. Which means we can shrink down into a more stable job market. It’s like hearing people who just read car magazines pretend to be a mechanic.

  20. @andyskywalker1979

    July 5, 2026 at 2:52 am

    Microsoft is confused as always. We made a mistake trying out Copilot and when we saw the bill it was full of Azure compute time and all kinds of infrastructure line items. Make up your mind, lead with something – AI or your infrastructure. Make your money with one cost line items which customers can understand. The trouble is the way Microsoft is structured, business units like Azure want to make money off the use of Copilot too. Just like SharePoint guys wanted to make money off the use of MS Teams. Instead of creating an innovative product that would lead to people looking at Copilot as an Enterprise grade alternative to Open AI and Gemini, it is looking like an expensive SPA billing you for use of all things – rent, soap, air conditioning, towels etc. What a wasted set of years for Microsoft who could have owned Enterprise AI with their early mover advantage and their investment in Open AI. Absolutely blew it!

  21. @meamanik

    July 5, 2026 at 5:43 am

    Is it just me or this guy trying to speak like Satya Nadella

  22. @wealth-ap

    July 5, 2026 at 10:25 am

    The trust between enterprises and frontier labs is fracturing, and this interview shows why. This isn’t a standard software rollout; it is AI embedding itself directly into your core value chain.

    Remember how Microsoft monopolised word processing and spreadsheets? This is the modern equivalent, but on a much more dangerous scale. They are positioning themselves to capture the entire stack. Once your workflows and proprietary knowledge are mapped by external engineers, your competitive edge can easily be replicated. History doesn’t repeat, but it rhymes. Look at Palantir’s playbook and Alex Karp’s interviews to see the true reality of forward deployed engineering.

    Safeguard your data before you lose the moat!!!

  23. @xyandzhandler

    July 5, 2026 at 12:02 pm

    Ai ISN’T MAKING MONEY! RELEASE FINANCIAL DATA SHOWING HOW MUCH MONEY ARE MICROSOFT CUSTOMERS PAYING THEM

  24. @fratilasorin2381

    July 5, 2026 at 1:53 pm

    I am using Ubuntu desktop, less memory less AI more faster, more happy

  25. @vinoopalayoor353

    July 5, 2026 at 1:54 pm

    This is about rectifying the confusion on ms copilot and cowork for the everyday user who may not understand the nuances between these tools and their associated cost models.

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Bloomberg Technology

OpenAI Hack Is Day One of AI Cybersecurity: HackerOne

OpenAI’s AI hacking incident has sparked new questions about the future of cybersecurity, but HackerOne CEO Kara Sprague says the episode should be viewed as a success, not a failure. She joins Bloomberg to explain why stress-testing advanced AI models is essential, what defenders can learn from the incident, and why organizations need to prepare…

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OpenAI’s AI hacking incident has sparked new questions about the future of cybersecurity, but HackerOne CEO Kara Sprague says the episode should be viewed as a success, not a failure. She joins Bloomberg to explain why stress-testing advanced AI models is essential, what defenders can learn from the incident, and why organizations need to prepare for a new era of AI-powered cyber threats. She joins Ed Ludlow on “Bloomberg Tech.”
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OpenAI AI Models Hack Hugging Face During Test

OpenAI says one of its most advanced AI models unexpectedly hacked Hugging Face during a controlled cybersecurity test, raising new questions about the capabilities, and risks, of next-generation AI. Bloomberg’s Rachel Metz breaks down what happened and why the incident is likely to intensify the debate over AI safety and regulation. She joins Ed Ludlow…

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OpenAI says one of its most advanced AI models unexpectedly hacked Hugging Face during a controlled cybersecurity test, raising new questions about the capabilities, and risks, of next-generation AI. Bloomberg’s Rachel Metz breaks down what happened and why the incident is likely to intensify the debate over AI safety and regulation. She joins Ed Ludlow on “Bloomberg Tech.”
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OpenAI’s AI Hack, AMD’s Anthropic Bet & Apple’s Next Macs | Bloomberg Tech 7/22/2026

Bloomberg’s Ed Ludlow breaks down the news of OpenAI’s advanced AI models unexpectedly hacking Hugging Face’s system during testing, raising fresh concerns about AI safety. Plus, AMD is making a big bet by investing up to $5 billion in Anthropic. And Apple is readying a major overhaul to its Mac lineup beginning later this year,…

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Bloomberg’s Ed Ludlow breaks down the news of OpenAI’s advanced AI models unexpectedly hacking Hugging Face’s system during testing, raising fresh concerns about AI safety. Plus, AMD is making a big bet by investing up to $5 billion in Anthropic. And Apple is readying a major overhaul to its Mac lineup beginning later this year, as Samsung makes its biggest consumer hardware push of the year at its Galaxy Unpacked event.

00:00:00 – Bloomberg Tech Begins
00:01:30 – Rachel Metz, Bloomberg News
00:04:49 – Kara Sprague, Hackerone CEO
00:11:43 – Sara Araghi, Franklin Venture
00:20:12 – Dina Bass, Bloomberg News
00:23:22 – Mark Gurman, Bloomberg News
00:34:24 – Nela Richardson, ADP
00:39:12 – Brody Ford, Bloomberg News
00:41:03 – Kurt Wagner, Bloomberg News
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