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Microsoft to Stop Sharing Revenue with Main AI Partner OpenAI

https://www.bloomberg.com/news/articles/2026-04-27/microsoft-to-stop-sharing-revenue-with-main-ai-partner-openai
89•helsinkiandrew•1h ago

Comments

aurareturn•1h ago

  Microsoft Corp. will no longer pay revenue to OpenAI and said its partnership with the leading artificial intelligence firm will not be exclusive going forward.
What does this mean that Microsoft will no longer pay revenue to OpenAI? How did the original deal work?
Handy-Man•1h ago
They were paying them 20% of the revenue from the hosted OpenAI products I believe?
bilbo0s•1h ago
Does this mean they will host OpenAI products but not pay them? Or does it mean they are paying them in some other way?
Handy-Man•57m ago
I suppose continue to host until the 2030/32 that they have access to but not share revenues when they use those models for their products like the bazillions of Copilots.
HarHarVeryFunny•48m ago
It seems that the old deal was exclusivity to MSFT with revenue share, and now no exclusivity, no revenue share.

Bear in mind that MSFT have rights to OpenAI IP (as well as owning ~30% of them). The only reason they were giving revenue share was in return for exclusivity.

deaux•13m ago
Azure was the only non-OpenAI provider that was allowed to provide OpenAI models. The comparison here is with Anthropic whose models are on both GCP and AWS (and technically also Azure though I think that might just be billing passthrough to Anthropic).
helsinkiandrew•1h ago
Gift Article: https://www.bloomberg.com/news/articles/2026-04-27/microsoft...
helsinkiandrew•1h ago
OpenAI post: https://news.ycombinator.com/item?id=47921262

Tried to delete this submission in place of it but too late.

sourraspberry•58m ago
The disparity in coverage on this new deal is fascinating. It feels like the narrative a particular outlet is going with depends entirely on which side leaked to them first.
chasd00•49m ago
This gives OpenAI the ability to goto AWS instead of exclusively on Azure. I guess Azure really is hanging on by a thread.

https://news.ycombinator.com/item?id=47616242

Donald•26m ago
Isn't this expected if OpenAI models are going to be listed on AWS GovCloud as a part of the Anthropic / Hegseth fall-out?
xvilka•23m ago
And Azure still doesn't support IPv6, looking at the GitHub[1].

[1] https://github.com/orgs/community/discussions/10539

awestroke•15m ago
Well, you see, they just can't find a checkbox for ipv6 support in the IIS GUI on their ingress servers.
jabl•14m ago
Perhaps they should use OpenAI models to figure out how to rollout IPv6.
happyPersonR•5m ago
lol GitHub doesn’t run on azure at msft

They still run their own platform.

1f60c•27m ago
Wait, I thought OpenAI had to pay Microsoft until AGI was achieved or something? Am I misremembering? Is that a different thing?
chasil•23m ago
https://archive.ph/5lTPy
monkeydust•23m ago
Original source afaik here:

https://blogs.microsoft.com/blog/2026/04/27/the-next-phase-o...

freediddy•21m ago
Nadella had OpenAI by the short and curlies early on. But all I've seen from him in the last couple of years is continuously acquiescing to OpenAI's demands. I wonder why he's so weak and doesn't exert more control over the situation? At one point Microsoft owned 49% of OpenAI but now it's down to 27%?
PunchyHamster•14m ago
Why would they acquire more when company is still not making profit ? To be left with bigger bag ?
dijit•9m ago
Everything is personal preference, and perhaps I am more fiscally conservative because I grew up in poverty.

But if I own 49% of a company and that company has more hype than product, hasn't found its market yet but is valued at trillions?

I'm going to sell percentages of that to build my war chest for things that actually hit my bottom line.

The "moonshot" has for all intents and purposes been achieved based on the valuation, and at that valuation: OpenAI has to completely crush all competition... basically just to meet its current valuations.

It would be a really fiscally irresponsible move not to hedge your bets.

Not that it matters but we did something similar with the donated bitcoin on my project. When bitcoin hit a "new record high" we sold half. Then held the remainder until it hit a "new record high" again.

Sure, we could have 'maxxed profit!'; but ultimately it did its job, it was an effective donation/investment that had reasonably maximal returns.

(that said, I do not believe in crypto as an investment opportunity, it's merely the hand I was dealt by it being donated).

freediddy•7m ago
Microsoft didn't sell anything. OpenAI created more shares and sold those to investors, so Microsoft's stake is getting diluted.

And Microsoft only paid $10B for that stake for the most recognizable name brand for AI around the world. They don't need to "hedge their bets" it's already a humongous win.

Why let Altman continue to call the shots and decrease Microsoft's ownership stake and ability to dictate how OpenAI helps Microsoft and not the other way around?

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Microsoft to Stop Sharing Revenue with Main AI Partner OpenAI

https://www.bloomberg.com/news/articles/2026-04-27/microsoft-to-stop-sharing-revenue-with-main-ai...
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