Microsoft expands AI infrastructure with Lumen Technologies

The US tech giant partners with Lumen Technologies to further develop its AI scope using Lumen’s network equipment and Azure cloud services.

Lumen, Logo

Microsoft has announced a partnership with Lumen Technologies to expand its capacity for AI workloads using LT’s network equipment. The tech giant, which has faced challenges due to data center infrastructure shortages, aims to meet the growing demand for AI services at its data centers.

In April, Microsoft revealed that the shortage of necessary infrastructure was limiting its ability to fully leverage the boom in AI technology. The company, which has invested heavily in OpenAI and its ChatGPT technology, continues to pour billions into cloud infrastructure to stay ahead of competitors like Google and Amazon.

As part of the deal, Lumen Technologies will switch to Microsoft’s Azure cloud services to reduce costs. The transition is expected to improve Lumen’s cash flow by over $20 million in the next year, aiding the company’s efforts to restructure its debt and achieve financial stability.

Why does this matter?

The collaboration comes as Microsoft also makes strides in AI development with projects like Vall-E-2, which achieves human-like speech, and its commitment to expanding AI in education in Hong Kong. These initiatives highlight Microsoft’s ongoing efforts to maintain its leadership in the rapidly evolving AI landscape.