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Significant changes in cloud and revenue model between OpenAI and Microsoft

OpenAI and Microsoft have reshaped their cloud infrastructure and revenue-sharing rules with an update to their existing partnership. OpenAI will now be able to offer its products through different cloud providers as well.

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Significant changes in cloud and revenue model between OpenAI and Microsoft

Two giants of the technology world, Microsoft and OpenAI, have renewed their agreement, implementing comprehensive changes to both cloud platform usage and financial rights. With this arrangement, OpenAI will be able to offer the artificial intelligence products it develops to its customers not only through the Microsoft Azure cloud, but also through other service providers of its choosing.

While Microsoft stated that OpenAI will continue to use Azure as its primary provider following the update to the agreement, it is notable that the company is opening its doors to other cloud service providers. Microsoft is paving the way for OpenAI to select platforms other than Azure when necessary or for features it prefers.

Another significant change is the introduction of a cap on revenue sharing. Microsoft's statement emphasized that while OpenAI's revenue share payments to Microsoft will continue at the current rate until 2030, regardless of the company's technological advancements, a defined total upper limit will be applied. Additionally, it was stated that Microsoft's revenue share payments to OpenAI have been eliminated.

Microsoft will continue to license the intellectual property rights for the models and products developed by OpenAI until 2032. However, this license will no longer be exclusive. Consequently, there is no longer an obstacle preventing OpenAI from opening its technologies to other business partners.

Microsoft will continue to contribute directly to the company's growth process through its significant stake in OpenAI. Company officials state that the changes will create flexibility and new opportunities for both Microsoft and OpenAI.

This revision stands out as the latest example of technology companies' efforts to move their partnerships toward a more dynamic and versatile structure during a period when competition in cloud computing continues to increase.


News Source: 12punto