May 9th, 2025
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According to financial documents seen by The Information, OpenAI thinks it will pay less of its earnings to Microsoft, which is its investor and partner, by the year 2030 than it does now.
This news follows OpenAI's decision this week to change its plans for a big company change. Instead, they will try a new idea: their part that makes money will become a public benefit company, but it will still be managed by their part that does not make money.
OpenAI currently gives 20% of its money to Microsoft. However, a report says the company has told investors it plans to give only 10% of its money to its partners, including Microsoft, by the end of 2030.
Microsoft has invested a lot of money in OpenAI, and they have an agreement until 2030. This agreement means they will share the money they earn. It also gives Microsoft the right to use OpenAI's technology in its own AI products. Plus, Microsoft is the only company that can use OpenAI's technology on its cloud service called Azure.
Bloomberg reported on Monday that Microsoft has not yet approved OpenAI's suggested company structure. This is because the larger tech company reportedly wants to make sure the new structure protects its investment of billions of dollars.
OpenAI and Microsoft did not answer when asked for their opinion.
May 9th, 2025
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