Microsoft evaluates Moonshot AI's Kimi K3 for Copilot inference tasks

Microsoft is internally testing Moonshot AI's Kimi K3 and evaluating whether to move some Copilot inference requests currently handled by OpenAI and Anthropic models to Kimi K3, according to The Information. Microsoft estimates that shifting part of Copilot's workload to Kimi K3 could reduce annual cloud infrastructure costs by up to $600 million. Kimi K3 is being assessed for its performance in coding and reasoning, as well as its cost efficiency in specific Copilot tasks. Microsoft has not made a final decision on replacing any models. Any deployment would involve technical integration, data-sovereignty, security, and export-control considerations, and could initially be limited to less sensitive workloads.