OpenAI, Microsoft Revise Terms of $57.9bn Partnership Amid IPO Plans
Samuel Mobolaji
OpenAI and Microsoft are in advanced talks to revise the terms of their multibillion-dollar partnership, potentially clearing the path for OpenAI to go public while ensuring Microsoft retains priority access to future artificial intelligence technologies, according to the Financial Times.
At the core of the negotiations is a recalibration of Microsoft’s equity stake in OpenAI’s for-profit arm, which exists alongside its nonprofit entity. Microsoft has invested over $13 billion in OpenAI and may now relinquish part of its stake in exchange for continued access to advanced AI models beyond 2030, sources said.
Both companies are also reviewing the overall structure of their collaboration, which began in 2019 when Microsoft made an initial $1 billion investment. The partnership has since become one of the most consequential in the tech industry, powering Microsoft’s Azure cloud services and integrating OpenAI’s language models, including ChatGPT, across its platforms.
Since its inception in 2015, OpenAI has raised a total of $57.9 billion across 11 funding rounds, including one seed round, eight late-stage rounds, a debt round, and a grant. Its largest round to date was a $40 billion Series F in March 2025 led by Japan’s SoftBank Group, underscoring investor confidence in OpenAI’s future.
Reports indicate that OpenAI has informed investors of plans to reduce the share of revenue allocated to Microsoft, signalling a desire for greater financial independence ahead of a possible IPO.
The talks follow Microsoft’s recalibration of its AI strategy earlier this year, which included a joint venture with Oracle and SoftBank to build up to $500 billion worth of AI data centres across the United States. The alliance marks Microsoft’s effort to expand and diversify its AI infrastructure.
The outcome of the negotiations could significantly reshape power dynamics within the AI industry, as OpenAI seeks more control over its financial future while Microsoft aims to maintain strategic advantage in next-generation AI development.
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