OpenAI Plans to Significantly Reduce Revenue Share with Microsoft

On May 7, Information reported that OpenAI has told investors that it will reduce the revenue share it gives to its main backer, Microsoft, as it moves forward with a restructuring of the company. In financial projections provided to investors, OpenAI said it would at least halve its revenue share to Microsoft by the end of 2030, according to the report. Under an existing agreement, OpenAI has agreed to distribute 20% of its revenue to Microsoft by 2030. However, OpenAI recently told some potential and existing investors that it would only share 10% of its revenue with business partners such as Microsoft by 2030, citing a non-public document in the media that mentioned Microsoft's desire to continue to have access to its technology after 2030. Microsoft said it has a "two-way revenue-sharing agreement" with OpenAI, and that the core terms of the partnership will remain in effect until the contract expires in 2030. "We continue to work closely with Microsoft, and look forward to finalizing the specific arrangements for the recapitalization in the near future," an OpenAI spokesperson told The Information. (Source: Sina Technology)