OpenAI is in negotiations with Microsoft to overhaul their multibillion-dollar partnership, in a bid to pave the way for a future IPO and a major corporate restructuring, the Financial Times reported on Sunday, citing numerous people familiar with the topic.
The discussions come as the AI pioneer, valued at $260 billion, seeks to shift further from its non-profit roots while ensuring its key investor maintains access to its technology. Microsoft, which has invested over $13 billion in OpenAI since 2019, is negotiating how much equity it will receive in the restructured entity. The talks also aim to update a long-term contract that governs Microsoft's access to OpenAI's intellectual property. The software giant may give up equity in exchange for extended access to next-generation AI beyond 2030.
Multiple sources familiar with their relationship also said negotiations between OpenAI and Microsoft are reportedly complicated by a growing rift between the companies.
