According to the Financial Times, Microsoft and OpenAI are renegotiating their multibillion-dollar partnership to facilitate OpenAI's future IPO while ensuring Microsoft's access to advanced AI technologies. Microsoft, a key supporter, poses a significant hurdle in OpenAI's restructuring efforts, which aim to further separate it from its non-profit origins.
The primary issue in the negotiations is determining Microsoft's post-restructuring equity in OpenAI after investing over $13 billion. Additionally, the companies are revisiting a broader contract initially established in 2019, when Microsoft first invested $1 billion. This agreement, effective until 2030, encompasses Microsoft's access to OpenAI's intellectual property and revenue sharing from product sales.
Insiders indicate that Microsoft is considering relinquishing some equity in OpenAI's new profit-driven venture in exchange for ongoing access to emerging technologies beyond 2030.
