May 9th, 2025
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According to financial documents, OpenAI expects to pay a smaller percentage of its income to Microsoft, its investor and partner, by 2030 than it does now.
This news follows OpenAI's decision this week to change its main plan for reorganizing. The new plan is for the part of the company that makes money to become a public benefit company, but the part that doesn't make money will still be in control.
OpenAI currently gives 20% of its total money to Microsoft. But the company told investors it plans to give only 10% of its money to its business partners, including Microsoft, by the year 2030, according to The Information.
Microsoft has invested a lot of money in OpenAI. They have an agreement until 2030 to share the money they earn. This agreement also lets Microsoft use OpenAI's technology in its AI products. Plus, Microsoft is the only company that can use OpenAI's services on Azure.
Bloomberg reported on Monday that Microsoft has not yet approved the company structure that OpenAI wants. This is because Microsoft, the bigger tech company, reportedly wants to make sure the new structure protects the money it has invested, which is billions of dollars.
OpenAI and Microsoft did not respond to questions right away.
May 9th, 2025
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