Microsoft: Will no longer pay revenue sharing to OpenAI

Microsoft and OpenAI announced the next phase of their collaboration, with Microsoft stating it will no longer pay revenue sharing to OpenAI. Revenue sharing payments from OpenAI to Microsoft will continue until 2030, regardless of OpenAI’s technological advancements, paid at the same ratio but subject to a total cap. Microsoft will continue to hold OpenAI’s IP licenses, applicable to models and products, until 2032. Microsoft’s license will be non-exclusive. Microsoft remains OpenAI’s primary cloud partner, and OpenAI products will be prioritized on Azure unless Microsoft is unable or chooses not to support necessary features. As a major shareholder, Microsoft will continue to participate directly in OpenAI’s growth.