Key facts
- Microsoft is hinting at new devices that will not host traditional operating systems or apps.
- These devices will feature AI agents to perform specific tasks.
- Microsoft unveiled its new AI-designed quantum computing chip, Majorana 2.
- The new quantum chip uses lead instead of aluminum, improving performance 1,000-fold.
- Microsoft aims for commercially useful quantum machines by 2029, cutting its previous target.
At its annual Build developer conference, Microsoft signaled a strategic shift towards AI agents and new device form factors, potentially replacing traditional operating systems and applications. These AI agents, integrated into devices like smart speakers or keycards, will perform complex tasks autonomously by communicating with cloud systems. Microsoft also unveiled its new AI-designed quantum computing chip, Majorana 2, which utilizes lead instead of aluminum for a significant performance boost. The company has advanced its timeline for commercially viable quantum machines to 2029, aligning with competitors like IBM. Microsoft's efforts include developing the OpenClaw software for managing AI agents and a partnership with the Mayo Clinic to advance healthcare AI diagnostics. The company is also introducing new AI models, including MAI Thinking-1, which matches Anthropic's Claude Opus performance, and an image generation model. The Majorana 2 chip features 12 qubits, up from 8, and extends qubit longevity from under 12 milliseconds to over 20 seconds. Physicists have criticized Microsoft for not releasing sufficient data to verify its quantum claims, citing trade secrets as a reason for limited public data release, though some findings have been shared confidentially with DARPA. MSFT stock was trading down 4.17% to $441.31 at the time of the announcement, with a GF Score of 97 out of 100, indicating undervaluation.