Microsoft and OpenAI remove a clause in their deal that would grant Microsoft IP rights up until OpenAI achieved "AGI", replacing it with a fixed-term agreement

· ai cloud · Source ↗

TLDR

  • Microsoft and OpenAI amended their partnership, replacing the AGI-milestone IP clause with fixed terms through 2032.

Key Facts

  • Microsoft retains a non-exclusive license to OpenAI IP for models and products through 2032.
  • OpenAI can now serve products on any cloud provider, not only Azure.
  • Microsoft will no longer pay a revenue share to OpenAI; OpenAI’s revenue share payments to Microsoft continue through 2030 with a total cap.
  • Microsoft remains the primary cloud partner; OpenAI products ship first on Azure unless Microsoft cannot or chooses not to support required capabilities.

Why It Matters

  • The AGI-trigger clause is gone, giving both companies predictable terms independent of OpenAI’s technology milestones.
  • OpenAI gains freedom to distribute across competing clouds, while Microsoft retains shareholder upside and preferred deployment status.

OpenAI · 2026-04-27 · Read the original

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