Overview

• Microsoft is demanding a bigger equity share in OpenAI’s planned Public Benefit Corporation and may walk away from negotiations if its 33% offer remains unchanged
• OpenAI has struck cloud computing deals with Google, Oracle and CoreWeave to reduce dependency on Microsoft Azure
• The AI startup aims to convert its for-profit LLC into a Public Benefit Corporation by year’s end to unlock new funding and limit Microsoft’s IP rights
• OpenAI executives have considered antitrust action against Microsoft over contract terms and access to intellectual property from its $3 billion Windsurf acquisition
• Despite deepening disputes, both companies issued a joint statement expressing optimism about preserving their long-term partnership