Microsoft and OpenAI might be rethinking their partnership.
According to the Financial Times, OpenAI is in a tough negotiation with Microsoft, one of its biggest investors. Microsoft has put $13 billion into OpenAI so far.
Recently, OpenAI announced plans to change how it’s structured as a company. It still wants to turn its business arm into a for-profit public benefit corporation, but its nonprofit board will keep control.
The main issue in the talks is how much of the new for-profit entity Microsoft will own. They’re also discussing their broader agreement, with Microsoft possibly giving up some equity to get access to OpenAI’s future technology beyond 2030.
The situation is complicated because the two companies are becoming more competitive. OpenAI’s business has grown rapidly, and it’s working on the ambitious Stargate infrastructure project, which adds more tension to the negotiation.