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Report says, Microsoft bans staff members from using an AI chatbot owned by one of its biggest cloud clients.

Microsoft Bans Staff to Use AI Chatbot

Report says, Microsoft bans staff members from using an AI chatbot owned by one of its biggest cloud clients.

Microsoft is reportedly blocking employee access to the AI chatbot provided by one of largest of its Azure OpenAI service, Perplexity AI. Microsoft employees see a notification blocking them from accessing Perplexity's website, a report by Business Insider said citing two people familiar with the matter.

The report notes that there is no specific information on when the restriction started or if it applies across the company. It added that other AI tools, like Google's Gemini chatbot, are also blocked on Microsoft's employee devices, the people said.

Perplexity AI is a chatbot that offers a conversational search engine that answers queries using natural language predictive text. It is powered by Microsoft's Azure OpenAI service, which helps companies build generative AI into their operations and products.

Microsoft also bans other AI tools

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20L Grants for Early-Stage VenturesGrant of INR 20 lakhs, access to 1: 1 mentorship and domain expertise from alumni. The/Nudge Incubator is now receiving applications.The/Nudge Incubator This is not the first time that Microsoft has banned employees’ access to AI tools offered by other companies. Microsoft briefly blocked OpenAI's ChatGPT from employee devices last year but later said it was by mistake.

An internal website told employees that the access was blocked “due to security and data concerns”.

“We restored service shortly after we identified our error. As we said previously, we encourage employees and customers to use services like Bing Chat Enterprise and ChatGPT Enterprise that come with greater levels of privacy and security protections,” the company said.

Other companies also have similar policies to block third-party generative AI use and interaction policy, often to prevent the sharing of confidential data that employees may unknowingly type in a third-party AI chatbot.

For example, Amazon warned employees in an email that they “should be sure not to use it [third-party AI chatbots] for confidential Amazon work.”

“Don't share any confidential Amazon, customer, or employee data when you're using 3rd party GenAl tools. Generally, confidential data would be data that is not publicly available,” the email said.

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