Microsoft Work IQ Could Cut AI Token Usage by 80%

Dewain Robinson (0:00)

Welcome to the Cloud Wars AI Minute. I'm your host, Dwayne Robinson. We're gonna go over the things that your boss expects you to know with what's going on in the AI world. And today, the topic is going to be Work IQ.

And we're actually starting to see Microsoft make very interesting moves inside of Work IQ.

We've already seen AI agents doing a lot of really interesting things, specifically around the Graph API. But the big difference here is Microsoft is really looking to monetize the ability for them to be able to do pre-loaded context. And so this allows us to be able to optimize our token spend and not require an AI to go do all the analysis to be able to come back and give you the information. It's already pre-calculated and just provided to you. And what we're starting to see is that we're starting to see that with Work IQ, you can get about an 80% reduction in the amount of tokens that it would require for you to go derive the same sort of information out of your graph implementation of your data. So this is really powerful for organizations who's looking to optimize their token spend. It also means that there's going to be a lot of power coming into Microsoft around the ability for them to monetize this in a way that could be quite effective. And a lot of the major AI providers and the organizations building co-work type of agents are going to really want to be able to do this to reduce that token overhead. Now we're seeing that they're already making it generally available and things like that. And back on or coming up on September 30th rather, we're going to see them even look to make it where it's not just read-only, but write capability according to all the things that we're seeing in the news. So this is going to be a very interesting world as Microsoft leans into the ability to monetize all of this context that they have from their graph. The other thing that's a little interesting about it as well is that they didn't offer it as yet another skew.

We're actually seeing them look to simplify the way that you purchase to just buying units of measure, which they refer to as a copilot credit. So it's very interesting and it's a good place to continue to watch as we continue to see more and more organizations looking to find ways to be able to optimize token spend and provide AI agents pre-calculated information to make them more effective and able to do what they need to do and do it for less and quicker compute.