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Consumers Sue Microsoft Over Alleged Azure Control of OpenAI Compute, Inflated ChatGPT Costs

Plaintiffs cite an 80% token-price drop after OpenAI began buying Google Cloud compute as evidence of artificial constraints.

Overview

  • Eleven ChatGPT Plus subscribers filed a class action in the Northern District of California seeking to represent U.S. consumers who purchased the service from late 2022.
  • The complaint alleges a 2019 exclusivity clause required OpenAI to use Azure for commercial models, giving Microsoft control over compute, restricting output, and degrading quality and speed.
  • Plaintiffs say ChatGPT token prices were 100 to 200 times competitors’ rates during the early 2025 price war, citing DeepSeek’s low-cost entry as the market shock that exposed the disparity.
  • The filing asserts that OpenAI’s June 2025 shift to Google Cloud ended Microsoft’s exclusivity, after which token prices fell about 80% within weeks and delayed features launched.
  • The suit seeks treble damages, restitution, a permanent bar on exclusive compute deals, and disclosure of internal records, and it alleges Microsoft still retains contractual power to throttle OpenAI’s supply.