Overview

• Microsoft is in advanced negotiations to secure continued use of OpenAI’s latest models even if the startup declares it has achieved artificial general intelligence
• OpenAI’s conversion into a public-benefit corporation remains stalled without Microsoft’s approval, which is essential to unlock $20 billion of a $40 billion SoftBank-led funding round
• The startup has begun shifting compute workloads to Google Cloud, Oracle and CoreWeave, fueling investor concern over a potential erosion of Azure’s exclusive AI edge
• Negotiators have met regularly and expect to finalize terms within weeks to redefine licensing rights and Microsoft’s future equity stake
• Existing contracts contain a clause that would cut off Microsoft from certain innovations once OpenAI declares AGI, prompting the current overhaul of access and equity provisions