April 23 (Reuters) - Microsoft ( MSFT ) said on Tuesday
that Coca-Cola had signed a $1.1 billion five-year deal
to use its cloud computing and artificial intelligence services.
Under the agreement, Microsoft ( MSFT ) and Coca-Cola will "jointly
experiment" with Azure OpenAI. That service uses technology from
Microsoft ( MSFT )-backed startup and ChatGPT creator OpenAI to let
customers build chatbots and other AI services that run in
Microsoft's ( MSFT ) Azure cloud computing service.
Coca-Cola had in 2020 signed a five-year deal worth $250
million to use Microsoft's ( MSFT ) cloud and business software.
The two companies said Coca-Cola would test Microsoft's ( MSFT )
Copilot offerings to see how the tools improve productivity for
the beverage maker. Copilot is an AI assistant that can help
summarize lengthy email discussions and build slide decks for
business presentations, among its many functions.
The deal announced Wednesday also includes Coca-Cola
expanding its use of other, conventional Microsoft ( MSFT ) software such
as Dynamics 365, which is used by sales professionals and
competes against Salesforce ( CRM ).
Microsoft ( MSFT ) did not specify the financial breakdown of the
$1.1 billion Coca-Cola deal in terms of the dollar amount
attributable to AI services versus traditional cloud software.