Microsoft saves $500M via internal AI initiatives: report

Microsoft (NASDAQ:MSFT) saved more than $500M last year in its call center thanks to artificial intelligence tools, according to Bloomberg.

Judson Althoff, the software giant’s chief commercial officer, said AI-powered coding assistants produced 35% of the code for new products as well. This was said during an internal presentation this week, according to the report, which cited a source familiar with the issue. Microsoft is taking AI beyond call centers and coding and also deploying it to handle sales with smaller clients.

Salespeople are also using Copilot AI assistants to help find leads and close deals quicker, which has led to revenue gains, the report added.

Several big tech companies are finding success with AI tools and agents.

Last month, Salesforce (CRM) CEO Marc Benioff said, “AI is doing 30% to 50% of the work at Salesforce now.”

Salesforce is using AI to handle tasks ranging from customer service to software engineering. It is also reducing the need for new employees in some instances.

Salesforce competitor ServiceNow (NOW) has utilized AI systems internally to improve efficiency. AI agents have increased ServiceNow’s lead-to-sale conversion rate by 16x, reduced meeting prep time for sellers by 42% and driven 86% task deflection in areas like IT support.