According to recent reports, Microsoft and Google are facing challenges in capitalizing on generative artificial intelligence (AI) and are looking to form partnerships and acquire talent to address this issue. Both companies lack certain key components required to lead in this field, such as robust AI models and user-friendly products. Apple, on the other hand, is lagging behind in AI but is exploring options to collaborate with Baidu to strengthen their AI capabilities in China. Despite Microsoft's early access to OpenAI's models, the company is not successful in creating consumer products beyond video games.

Microsoft CEO Satya Nadella recognizes the need to unify product development and has appointed Mustafa Suleyman, an AI pioneer, to lead Microsoft AI. Meanwhile, Google is in discussions with Apple to license its Gemini AI engine, which could potentially benefit both companies. However, all tech giants need to keep innovating and collaborating with external talent to succeed in the rapidly evolving field of generative AI.