NEW YORK and REDMOND, Wash. — April 26, 2024 — The Estée Lauder Companies (ELC) and Microsoft Corp. have unveiled plans for an AI Innovation Lab aimed at revolutionizing the beauty industry with advanced generative AI technology. The collaboration seeks to bolster consumer connections, accelerate product launches, and amplify local relevancy across ELC's portfolio of over 20 prestige beauty brands.

Jane Lauder, EVP, Enterprise Marketing, and chief data officer at The Estée Lauder Companies, emphasized the significance of technology in enhancing consumer experiences, stating, "At ELC, technology is always in support of our enduring strengths of high-quality products and high-touch consumer experiences."

Microsoft's corporate vice president, Global Industry Solutions, Shelley Bransten, highlighted the potential of generative AI in the beauty sector, stating, "Generative AI represents a significant opportunity for the beauty industry — creating more engaging customer experiences, getting products into the hands of consumers faster, developing new products more efficiently and sustainably, and much more."

The AI Innovation Lab will enable ELC and Microsoft to collaborate on developing solutions that leverage Microsoft's Azure OpenAI Service to expedite responses to social trends and consumer demands. One key initiative involves the creation of an internal-facing generative AI chatbot to enhance marketing effectiveness globally, enabling brands to launch locally relevant campaigns more rapidly.

Furthermore, the partnership will focus on utilizing generative AI tools in research and development to drive faster and more effective product innovation. This approach will empower scientists and product development specialists to swiftly respond to emerging product and ingredient trends, ultimately streamlining the innovation process.

Jane Lauder expressed enthusiasm about the collaboration, citing Microsoft's generative AI tools and expertise as instrumental in leveraging ELC's data to create personalized consumer experiences and accelerate insights to action, resulting in increased speed to market and stronger local relevancy.

Shelley Bransten from Microsoft underscored the commitment to innovation, stating, "We’re proud to collaborate with The Estée Lauder Companies to provide not only a platform for AI innovation, but also deep partnership to bring these new innovations to life."

This partnership marks a milestone in the longstanding relationship between ELC and Microsoft, which commenced in 2017. Previously, ELC utilized Azure AI for its Voice-Enabled Makeup Assistant, a mobile app designed to assist visually impaired users in applying makeup confidently. The app, available in select markets, is slated for further expansion to reach a wider audience globally.

The AI Innovation Lab signifies a strategic step forward in the joint efforts of The Estée Lauder Companies and Microsoft to reimagine the beauty industry through cutting-edge AI technology and collaborative innovation.