Microsoft Corp. (NASDAQ:MSFT) has reportedly introduced a groundbreaking, deploying an isolated generative AI model accessible solely to U.S. intelligence agencies for analyzing classified data.

The initiative marks the first instance where a major AI model functions entirely offline, according to a report from Bloomberg.

The model, based on GPT4 technology, operates in an “air-gapped” environment, disconnected from the internet, ensuring heightened security for intelligence analysis.

Intelligence agencies worldwide seek such technology to handle escalating volumes of classified data, aiming to enhance analysis while mitigating security risks.

The report further noted Microsoft’s initiative aligns with a growing demand for AI tools in intelligence operations, driven by ambitions to gain competitive advantages in data analysis.

Also Read: Microsoft Takes On Google And OpenAI With New AI Model: Report

Microsoft invested 18 months in developing this system, which involved refurbishing an existing AI supercomputer and ensuring strict isolation from external networks.

The report cited William Chappell, Microsoft’s chief technology officer for strategic missions and technology, who emphasized the unique security measures implemented to prevent data leaks and maintain confidentiality.

The AI model, although static in its current state, is poised to undergo testing and accreditation by intelligence agencies, potentially revolutionizing data analysis processes.

Microsoft stock has gained more than 33% in the past 12 months. Investors can gain exposure to the stock via Technology Select Sector SPDR Fund (NYSE:XLK) and IShares U.S. Technology ETF (NYSE:IYW).

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Price Action: MSFT shares are trading lower by 0.28% at $412.40 at the last check Tuesday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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