Microsoft Azure has taken a major step forward in the AI race by now supporting over 1,900 AI models, including Grok 3 from Elon Musk’s xAI. The announcement came during Microsoft’s annual Build 2025 developer conference, where the company revealed new partnerships and tools for AI developers.
The collaboration with Musk’s xAI, although notable, comes at a time when xAI is under scrutiny for recent controversial outputs by its language models. Elon Musk acknowledged the issues but reaffirmed xAI’s mission to develop highly accurate and truth-focused AI systems.
As part of this move, xAI’s Grok 3 model will be hosted on Microsoft’s cloud servers, enabling developers to access it through Azure.
At the Build event, Microsoft also introduced enhancements focused on AI agents—systems capable of performing user tasks autonomously. Among the major updates were:
A model leaderboard to benchmark AI performance,
Tools to help developers select the best model for specific tasks,
New capabilities for companies to train custom models using proprietary data.n
Additionally, Microsoft announced support for Anthropic’s Model Context Protocol (MCP) within Windows and GitHub, aiming to standardize how AI systems interact across platforms.
With strong investments in OpenAI and consistent innovation in cloud-based AI tools, Microsoft continues to position Azure as a leader in the rapidly evolving artificial intelligence landscape.