Microsoft to unveil new AI models and coding model at Build conference next week

Microsoft to release new coding model next week, the Information reports

Microsoft is set to launch new artificial intelligence models next week at its Build conference. These include a coding model to enhance GitHub Copilot. The company is also introducing models for transcription, reasoning, speech, and images. This move signals Microsoft's strategy to reduce reliance on partners like OpenAI. Microsoft shares saw a rise following this news. Microsoft will unveil a suite of new homegrown AI models next week at its annual "Build" conference for developers in San Francisco, including a coding model to boost the usage of its GitHub Copilot tool, the Information reported on Thursday. The company is also planning to roll out new models that ⁠specialize in ⁠tasks such as transcription, reasoning, speech and images, the report said, citing a person with direct knowledge of the plans. Microsoft declined to comment on the report. Here are some details: Microsoft shares climbed on the report, and were last up nearly 3%. It has been rushing to beef up its own AI products as ⁠it gears up for a future independent of its once-vital partner OpenAI - the companies have changed their partnership terms in ⁠recent months to reduce reliance on each other. The tech giant has primarily relied on AI models from OpenAI, Anthropic and Big Tech rival Google to power its GitHub Copilot AI tool for software developers. While the tool had seen encouraging uptake initially, products such as Anthropic's Claude Code have quickly risen to the top spot in AI-assisted coding. Microsoft is now eyeing AI startup acquisitions, Reuters reported earlier this month, to diversify beyond its OpenAI partnership. The potential deals could ⁠help Microsoft beef up AI talent and deliver on its stated goal of building a cutting-edge AI model by next year, three sources had told Reuters. Market sentiment on Microsoft has soured this year as investors question the viability of its early lead in AI as its OpenAI partnership unravels, while rivals Google and Amazon report strong progress in their own AI efforts.

Microsoft may unveil new coding focused AI model next week: Here is what we know

The event could highlight Microsoft's plans to strengthen its position in the growing AI market. Microsoft is reportedly gearing up to showcase a number of fresh AI models at its annual Build developer conference soon after Google wraps up its Google I/O 2026. The conference will take place next week in San Francisco. The company is expected to launch a lineup that will include a coding-focused model aimed at improving GitHub Copilot along with Microsoft's AI assistant for software developers. Along with that, it's also anticipated that Microsoft may introduce models built for tasks such as speech, transcription, reasoning and image generation. While Microsoft is yet to comment on the news as soon as it surfaced online, the company's shares were up nearly 3 per cent during trading on Thursday, a sign of renewed confidence around its AI plans. The Information recently published a report where they stated that Microsoft are planning to launch a plethora of AI-based features and tools. With these new features, the firm is looking to provide ease to the users, especially the programming community. Over the past two years, Microsoft has invested heavily in OpenAI and used its technology across products including GitHub Copilot, Microsoft 365 and Azure cloud services. However, the recent changes in relationship between the two companies have raised questions about how dependent Microsoft remains on outside AI systems. Also read: Claude Opus 4.8 is here but Anthropic is already teasing Mythos class AI models: What you should know GitHub Copilot became one of the earliest popular AI coding tools and initially saw strong demand from developers. However, competition has grown rapidly. Competitors like Anthropic's Claude Code and Google's AI coding programs have received significant attention for providing faster and more advanced solutions to programming tasks. The report suggests Microsoft now wants more control over the technology powering its AI products. Along with developing in-house models, the company is also exploring AI startup acquisitions. Reuters reported earlier this month that Microsoft had been studying potential deals that could help bring in skilled AI researchers and speed up the company's efforts to build a leading AI model by next year. Also read: Apple's biggest Siri upgrade yet? AI chatbot, smarter search revamp and more tipped ahead of WWDC 2026 Investor sentiment around Microsoft's AI strategy has become mixed recently. While the company was once considered an early leader because of its OpenAI tie-up, rivals including Google and Amazon have continued to improve their own AI systems and cloud offerings. Analysts say Microsoft's Build conference could give a clearer picture of how the company plans to compete in the next stage of the AI industry.