May 9th, 2025
Create an account or log in to unlock unlimited access!
According to The Information, which reportedly examined financial documentation, OpenAI anticipates a diminution in the proportion of its revenue disbursed to its principal investor and strategic ally, Microsoft, over the coming decade compared to the current fiscal arrangement.
This development follows a strategic volte-face by OpenAI earlier this week, which saw the abandonment of a prior major restructuring blueprint in favour of a novel paradigm wherein its commercial adjunct would be reconstituted as a public benefit corporation (PBC) whilst remaining inextricably yoked to, and governed by, its non-profit progenitor.
As reported by The Information, OpenAI presently maintains a contractual obligation to disburse a fifth of its gross revenue to Microsoft; however, the artificial intelligence entity has communicated to its stakeholders an anticipation of reducing this revenue-sharing proportion to a tenth with its various business associates, Microsoft included, by the culmination of the current decade.
Microsoft's substantial, multi-decadal investment in OpenAI is underscored by a contractual agreement extending to 2030, mandating bilateral revenue-sharing and granting Microsoft proprietary access to OpenAI's intellectual property for integration within its artificial intelligence portfolio, alongside exclusive rights to deploy OpenAI's APIs on the Azure cloud platform.
Bloomberg reported on Monday that Microsoft has not yet ratified OpenAI’s proposed corporate configuration, ostensibly because the behemoth technological entity wishes to ensure the novel structure safeguards its substantial, multi-billion-dollar financial outlay.
OpenAI and Microsoft maintained a conspicuous silence when solicited for immediate comment.
May 9th, 2025
Grok Unbound: Musk's AI and the Contentious Legacy of South African Racial Discourse
EU Scrutinises TikTok's Opaque Advertising Practices: Digital Regulation Infringement Alleged
DoorDash Driver Admits Guilt in $2.5M Delivery Embezzlement Scheme
Court Documents Detail Meta Leadership's Concession of Facebook's Subservience to TikTok
AI-Driven Simplification: Google's iOS Feature Demystifies Complex Text
Google Unveils Upgraded Gemini 2.5 Pro AI Ahead of I/O
Haptic-Enabled Warehouse Automation Unveiled by Amazon
TikTok Integrates Reviews in Comments, Challenges Google Maps
Cease Doomscrolling: Immersive Live Feed of the Great Moose Migration Beckons
Create an account or log in to continue reading and join the Lingo Times community!