APS Microsoft trial cost local AI firm its govt deal, inquiry hears


Joseph Brookes
Senior Reporter

The Albanese government’s APS-wide trial of Microsoft’s artificial intelligence had an immediate chilling effect on local providers of competing technology, with a likely deal scrapped the following day, the Senate’s sovereign tech inquiry heard on Monday.

Trellis Data chief Michael Gately told the hearing that his company – which provides Copilot and ChatGPT like products – lost a contract just before signing last year because of the Microsoft announcement.

“We had a tender with an Australian government department that was ready for signing by the delegate which got cancelled the day after that announcement was made,” Mr Gately said.

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