Microsoft is partnering with Elon Musk's $1 billion AI research company to help it battle Amazon and Google

Microsoft has announced a new partnership with OpenAI, the $1 billion artificial intelligence research nonprofit cofounded by Tesla CEO Elon Musk and Y Combinator President Sam Altman. Under the terms of the partnership, OpenAI will use the Microsoft Azure cloud computing service as the "preferred" place to do its AI experiments. In return, Microsoft gets increased access to OpenAI's deep bench of robotics and experts, making Azure a better place for building AI-powered software. "You want to get a good feedback loop going," says Microsoft Executive VP of Cloud and Enterprise Scott Guthrie. "That helps you ultimately build a better platform."