OpenAI Reportedly Agrees to Cap Revenue Sharing with Microsoft at $38bn

OpenAI reportedly renegotiated its Microsoft deal to cap total revenue sharing at $38 billion.

The revised agreement gives OpenAI more freedom to strike infrastructure and commercial deals with other tech companies.

The move reduces OpenAI’s reliance on a single cloud partner and shifts leverage in the partnership.

The change could improve OpenAI’s valuation and make a future IPO more feasible, as compute access becomes a bigger competitive battleground.