OpenAI and Microsoft are renegotiating the terms of their multibillion-dollar partnership to pave the way for a potential public offering by the artificial intelligence firm, while ensuring Microsoft retains access to OpenAI’s latest technologies, according to a report by Financial Times.
A key point in the discussions is how much equity Microsoft will hold in OpenAI’s for-profit arm in return for the more than $13 billion it has invested in the company. The report said Microsoft is open to reducing its stake in exchange for access to future AI models beyond a 2030 deadline set in previous agreements.
The two companies are also revising the broader terms of their original deal, which began in 2019 when Microsoft invested $1 billion in OpenAI.
OpenAI, known for its ChatGPT product, has reportedly told investors that it will share a smaller portion of revenue with Microsoft and other major backers as part of its restructuring, according to a separate report last week by The Information.
In January, Microsoft updated parts of its agreement with OpenAI after forming a joint venture with Oracle and Japan’s SoftBank Group to invest up to $500 billion in new artificial intelligence data centers in the United States.
