Microsoft · OpenAI
The agreement preserves key elements that have fueled this successful partnership—meaning OpenAI remains Microsoft’s frontier model partner
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It also refines and adds new provisions that enable each company to independently continue advancing innovation and growth.
Key facts
- Following the recapitalization, Microsoft holds an investment in OpenAI Group PBC valued at approximately $135 billion, representing roughly 27 percent on an as-converted diluted basis, inclusive
- The agreement preserves key elements that have fueled this successful partnership—meaning OpenAI remains Microsoft’s frontier model partner and Microsoft continues to have exclusive IP rights
- First, Microsoft supports the OpenAI board moving forward with formation of a public benefit corporation (PBC) and recapitalization
- What began as an investment in a research organization has grown into one of the most successful partnerships in their industry
Summary
What began as an investment in a research organization has grown into one of the most successful partnerships in their industry. First, Microsoft supports the OpenAI board moving forward with formation of a public benefit corporation (PBC) and recapitalization. The agreement preserves key elements that have fueled this successful partnership—meaning OpenAI remains Microsoft’s frontier model partner and Microsoft continues to have exclusive IP rights and Azure API exclusivity until Artificial General Intelligence (AGI). Once AGI is declared by OpenAI, that declaration will now be verified by an independent expert panel.