Microsoft Launches CoreAI Team to Revolutionize AI in Software Development, Appoints Jay Parikh as Leader
January 13, 2025
Jay Parikh has been appointed to lead this initiative, overseeing the development of the end-to-end Copilot and AI stack for both first-party and third-party customers.
Nadella introduced the concept of 'agentic workflows,' where interconnected agents manage workflows through APIs, allowing humans to concentrate on complex decision-making.
This initiative aims to better support small businesses and researchers in utilizing AI for tasks like customer support automation and data analysis.
Parikh brings extensive experience from his previous role as CEO of Lacework and over a decade at Facebook, where he was instrumental in building technical infrastructure.
Microsoft CEO Satya Nadella has announced the formation of a new engineering team named 'CoreAI - Platform and Tools' to address the transformative impact of AI on software development.
In his new role, Parikh will collaborate with key leaders such as Suleyman, Scott Guthrie, and Kevin Scott to advance Microsoft's AI strategy.
CoreAI is tasked with creating 'agentic applications' that feature memory, entitlements, and action capabilities, enhancing performance and safety across various industries.
Goldman Sachs has identified Microsoft as a strong investment opportunity, citing its competitive edge in cloud services and AI.
Microsoft's stock has seen a 7% increase over the past year, with a reported first-quarter revenue of $65.60 billion, surpassing expectations.
The overarching goal of CoreAI is to establish the best AI platform, tools, and infrastructure, seizing opportunities in the burgeoning AI market.
Nadella emphasized the need for interdepartmental collaboration, stating that internal boundaries should not impede customer focus and innovation.
BofA Securities forecasts that Microsoft will achieve low double-digit growth over the next 3-5 years, driven by its Azure, Office 365, and Xbox revenue streams.
Summary based on 22 sources
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Sources

The Verge • Jan 13, 2025
Microsoft creates new AI engineering group led by former Meta executive
Business Insider • Jan 13, 2025
Microsoft forms a new AI group under former Facebook head of engineering Jay Parikh
NBC News • Jan 13, 2025
Microsoft CEO Nadella forms new AI group to build and run apps for customers
Yahoo Finance • Jan 13, 2025
Microsoft Unveils Core AI: A Bold Leap in Shaping the Future of AI Applications