Windows Weekly Episode WW 916: “¡Agua Gigante! - OpenAI, Stargate Project, 24H2 Preview”
Release Date: January 22, 2025
1. Introduction
In Episode WW 916 of Windows Weekly, host Leo Laporte is joined by veteran Microsoft insiders Paul Thurrott and Richard Campbell from their sunny base in Puerto Vallarta, Mexico. Despite the relaxed setting, the trio dives deep into significant developments within Microsoft and the broader technology landscape, focusing on artificial intelligence (AI), Windows updates, PC market trends, and the latest Xbox offerings.
2. AI Developments at Microsoft and Google
The episode opens with a comprehensive discussion on the rapid expansion of AI in both consumer and business sectors. Paul Thurrott emphasizes the convergence of Microsoft and Google in their AI strategies, noting how both giants are mirroring each other's moves in integrating AI into their core products.
Paul Thurrott (02:14):
"Google as it does, has been copying the market leader like they do in mobile in this case Microsoft... essentially you get the same thing Gemini advanced for as a consumer with the Gmail account, 2 TB of storage, etc."
3. Microsoft 365 AI Subscription Changes
A significant portion of the discussion centers around Microsoft's recent adjustments to its Microsoft 365 subscriptions. Paul Thurrott highlights the introduction of AI credits and the restructuring of the Copilot services.
Paul Thurrott (04:30):
"Microsoft raised the price of Microsoft 365 for consumers... they introduced a system of AI credits so that if you had a Microsoft 365 account, you could do things that previously might have required Copilot Pro."
The hosts delve into the complexities of the new pricing model, weighing its benefits against consumer affordability. Richard Campbell points out the challenges consumers face with the added costs for accessing advanced AI features.
Richard Campbell (07:34):
"Why are you going to pay $20 a month for Copilot?"
4. Consumer vs. Business AI Offerings
The conversation contrasts Microsoft's AI offerings for consumers against Google's recent changes for businesses. Paul Thurrott notes that while Google has discontinued its Gemini Advance for businesses, Microsoft is expanding its AI services to consumers, albeit at a higher price point.
Paul Thurrott (08:29):
"Google killed Gemini advance for businesses... Microsoft announced their changes... price hikes for personal and family."
This strategic divergence reflects the companies' differing approaches to monetizing AI capabilities, with Microsoft aiming to make AI more accessible to individual users despite the increased costs.
5. Microsoft OpenAI Partnership and the "Stargate" Project
A focal point of the episode is the evolving partnership between Microsoft and OpenAI, particularly the ambitious "Stargate" project. Paul Thurrott discusses Microsoft's significant investment in AI infrastructure and the potential implications of the partnership.
Paul Thurrott (65:02):
"Microsoft gains access to OpenAI's technology... Microsoft is one of the few companies that could even afford or attempt to try to host their stuff."
Richard Campbell adds that this partnership is crucial for Microsoft's dominance in the AI sector, especially in the face of competition from other tech giants.
Richard Campbell (65:06):
"They're also getting OpenAI's technology... this is a win-win for Microsoft."
The hosts speculate on the long-term impact of Microsoft's investments, including the construction of new data centers and the pursuit of artificial general intelligence (AGI).
6. Windows 24H2 Preview and Updates
Transitioning to Windows updates, Paul Thurrott provides an in-depth preview of the upcoming Windows 24H2 release. He outlines several new features and enhancements aimed at improving user experience and system performance.
Paul Thurrott (41:05):
"Windows 24H2 is of such high quality... they’re pushing it aggressively to Windows 10 users as well who have compatible PCs."
Key highlights include:
- Tabbed File Explorer: Organizing Quick Access, favorites, and recent items into separate tabs.
- Enhanced Windows Studio Effects: Direct access via the system tray for easier control of camera effects.
- Improved Taskbar Animations: Higher quality previews and animations when hovering over taskbar apps.
- New Outlook App: Replacing the older Mail and Calendar apps with a more integrated experience.
Richard Campbell (44:11):
"It's going to contextualize search in a way. So it works with a bunch of different document and image formats."
These updates signify Microsoft's commitment to refining the Windows ecosystem, integrating AI-driven features to streamline workflows and enhance productivity.
7. PC Sales Growth and Market Analysis
The hosts examine the latest statistics on PC sales, revealing a modest growth of 1.3% from the previous year, totaling 254 million units sold. Paul Thurrott contextualizes this growth within the historical landscape, noting that the only previous decline was linked to the smartphone revolution.
Paul Thurrott (28:04):
"254 million PCs sold last year. More than the 251 million sold the year before. But 1.3% growth, not great."
Richard Campbell (28:48):
"Numbers are pretty clearly linked to [people's] mass migration to the phone."
The discussion emphasizes the saturation of the PC market and the stabilization of sales figures, attributing the minimal growth to longer device lifespans and the entrenched preference for smartphones as primary computing devices.
8. Xbox Game Pass Updates
In the Xbox segment, Paul Thurrott introduces the new "Game Assist" feature available in Microsoft Edge, which integrates a mini-browser within the game bar. This allows gamers to access walkthroughs and other helpful content without leaving their gaming sessions.
Paul Thurrott (88:00):
"Microsoft Edge game assist feature, which is basically a mini game or Microsoft Edge browser inside of the game bar."
Additionally, the hosts highlight the latest additions to the Xbox Game Pass, including titles like "Far Cry" and upcoming releases such as "Doom the Dark Ages." These updates reflect Microsoft's ongoing efforts to bolster the Game Pass library and enhance the gaming experience for subscribers.
Richard Campbell (91:04):
"So, yeah, that's it. All right."
9. Conclusion
Episode WW 916 of Windows Weekly offers a thorough exploration of the intersecting realms of AI development, Windows enhancements, and the evolving PC and gaming markets. Through insightful discussions and expert analysis, Paul Thurrott and Richard Campbell provide listeners with a nuanced understanding of Microsoft's strategic maneuvers and their broader implications within the technology sector. As AI continues to reshape productivity tools and user experiences, the hosts underscore the importance of staying informed and adaptable in this rapidly changing landscape.
Note: This summary excludes advertisement, intro, and outro segments, focusing solely on the content-rich discussions relevant to the episode's main topics.