Microsoft and French startup Mistral said Tuesday they had signed a “multibillion-dollar” deal for the US tech giant to use the AI developer’s computing infrastructure in Europe.

  • cupcakearmy@lemmy.ml
    link
    fedilink
    English
    arrow-up
    17
    arrow-down
    1
    ·
    3 days ago

    Don’t get the negativity. This does not mit Mistral models are less safe or sending data somewhere else. And it’s bringing US money into the EU, which in my books is a win. Also Mistral gets to position their models ok Azure. Not sure why people are so negative about this

    • BigShammy80@feddit.org
      link
      fedilink
      English
      arrow-up
      18
      arrow-down
      4
      ·
      3 days ago

      You have to be very naive to believe that.

      It’s always the same… there is a interesting europe based alternative for US-Techgiants and after a while it is bought or “a deal” is made… very sad!

      • Tango@piefed.ca
        link
        fedilink
        English
        arrow-up
        6
        ·
        3 days ago

        Can you explain what you think the problem with this deal is? Frankly, I’d be far more worried if it was Mistral using MS servers, as MS would then have physical access to Mistral data. MS using Mistral servers… I’m not sure I see the problem.

        • pticrix@lemmy.ca
          link
          fedilink
          English
          arrow-up
          2
          ·
          3 days ago

          Never forget that Microsoft mantra and MO is “embrace, extend, extinguish”.

        • BigShammy80@feddit.org
          link
          fedilink
          English
          arrow-up
          3
          arrow-down
          2
          ·
          3 days ago

          I can’t explain. I’m just very sceptical, that MS cuts a billion dollar deal to just use their servers… they could just build server infrastructure for that money…

          • WaxRhetorical@lemmy.world
            link
            fedilink
            English
            arrow-up
            6
            ·
            3 days ago

            Server infrastructure is currently bottlenecked, see the price of RAM and storage which is a direct consequence of the AI craze.
            Building new data centers is not easy from a hardware perspective, not to mention permits, electrical/connectivity infrastructure, staffing and so on.

          • General_Effort@lemmy.world
            link
            fedilink
            English
            arrow-up
            3
            ·
            3 days ago

            Yes, but that only puts an upper limit on the price that anyone would be willing to pay.

            It’s like this: Both companies estimate how much money they expect to make from using those servers for their own purposes. In Mistral’s case, that might be a negative amount. Regardless, Microsoft obviously can put the capacity to better use. So they can offer to rent it from Mistral for more than Mistral believes it can make on its own. Basically, MS passes on some of their profits to Mistral.