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techcrunch ai · July 13, 2026

Microsoft's Nadella says you're paying twice for AI — here's the fix

microsoft ceo satya nadella warns that using proprietary models like openai effectively forces companies to hand over valuable trade secrets, creating a trojan horse risk where vendors learn from customer data.

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microsoft ceo satya nadella published a blog post warning that using proprietary models from labs like openai creates a trojan horse effect where vendors learn from client interactions to become future competitors. nadella highlights that models learn from exhaust—prompts and corrections—meaning the more enterprises refine models, the more valuable data they leak. he criticizes labs for preventing users from distilling models while relying on fair use to train on public data, advocating instead for companies to retain data ownership and build orchestration layers to avoid vendor lock-in.

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