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OpenAI plans to cut Microsoft revenue share after restructuring, The Information reports
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OpenAI plans to cut Microsoft revenue share after restructuring, The Information reports
May 26, 2025 2:27 AM

May 6 (Reuters) - OpenAI has told investors it will

share a smaller fraction of revenue with major backer Microsoft ( MSFT )

as it moves ahead with its restructuring, The

Information reported on Tuesday.

The ChatGPT-maker has dialed back a significant

restructuring plan, with its nonprofit parent retaining control

in a move that is likely to limit CEO Sam Altman's power over

the firm.

In financial projections shared with investors, OpenAI said

the percentage of revenue shared with Microsoft ( MSFT ) would drop by at

least half by the end of this decade, the report said.

In an existing deal, OpenAI has agreed to share 20% of its

revenue with Microsoft ( MSFT ) through 2030, the Information reported.

OpenAI told some potential and current investors that it

would only share 10% of revenues with commercial partners

including Microsoft ( MSFT ) by 2030, the report said, citing private

documents, adding that Microsoft ( MSFT ) wants access to OpenAI's

technology beyond 2030.

In January, Microsoft ( MSFT ) changed some key terms of a deal with

OpenAI after its joint venture with Oracle and Japan's

SoftBank Group to build up to $500 billion of new

artificial intelligence data centers in the United States.

Microsoft ( MSFT ) has said it has "revenue sharing agreements that

flow both ways" with OpenAI, with the key elements of the

partnership remaining in place for the duration of the contract

through 2030.

"We continue to work closely with Microsoft ( MSFT ), and look

forward to finalizing the details of this recapitalization in

the near future," an OpenAI spokesperson told The Information.

OpenAI and Microsoft ( MSFT ) did not immediately respond to Reuters'

requests for comment outside regular business hours.

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