OpenAI: Microsoft should take less revenue share, Microsoft: Give me more technology
OpenAI plans to significantly reduce the revenue sharing ratio with Microsoft from the current 20% to 10% by 2030. Microsoft hopes to continue using OpenAI's intellectual property after its restructuring, and both parties are also negotiating on aspects such as the Azure cloud server agreement. Analysis points out that a pending question is whether the current agreement covers products that OpenAI has not yet released or that have not yet generated revenue
OpenAI seeks to reduce Microsoft's "revenue share," restructuring plan triggers power struggle?
According to media reports on Tuesday, a key part of OpenAI's push for company restructuring is to significantly cut the revenue sharing ratio with Microsoft.
Specifically, under the existing agreement, OpenAI has agreed to share 20% of its revenue with Microsoft until 2030. However, OpenAI has indicated to potential and existing investors that by 2030, it will only share 10% of its revenue with commercial partners, including Microsoft, which can be confirmed by certain internal documents.
Currently, Microsoft, as OpenAI's largest external shareholder and business partner, has not approved this change request.
Reports indicate that one pending issue is: whether the current agreement covers products that have not yet been released or have not yet generated revenue, such as the doctoral-level AI agent that OpenAI previously launched with a planned monthly fee of $20,000.
Microsoft's Concerns: IP Usage Rights and Cloud Service Agreement
According to reports, OpenAI and Microsoft have been at odds for months over modifications to the existing agreement, including changes to the 20% revenue sharing ratio and the duration of Microsoft's rights to use OpenAI's intellectual property.
According to executives close to both companies, negotiations are still ongoing regarding the scale of Microsoft's stake in the profitable division after the restructuring. Microsoft also seeks assurances for continued use of OpenAI technology in the future.
The two companies are also discussing how OpenAI will use Microsoft's Azure cloud servers. OpenAI is one of Azure's largest customers and a significant driver of new revenue for Microsoft Azure.
According to employees familiar with the discussions, the way Microsoft uses OpenAI's intellectual property has become a focal point for OpenAI employees, as OpenAI cannot intervene in how Microsoft uses its technology.
Reports also reveal that while both companies have greatly benefited from the partnership, the relationship can sometimes be tense.
It has been reported that OpenAI's leadership has complained about Microsoft's slow action in providing the servers needed to train and run its models, prompting the owner of ChatGPT to reach server leasing and financing agreements with Oracle and SoftBank.
Last spring, Microsoft CEO Satya Nadella hired the founder of an OpenAI competitor, partially leveraging OpenAI's intellectual property to develop similar products for Microsoft. This executive has also expressed dissatisfaction to others regarding OpenAI's obstruction of these efforts
