Microsoft, OpenAI IP License Shifts to Non-Exclusive

Microsoft and OpenAI have revised the terms of their partnership to make the collaboration structure simpler.

• Microsoft remains OpenAI's primary cloud partner, and OpenAI products are launched on Azure first by default.
• However, if Microsoft cannot or chooses not to support a needed feature, OpenAI can offer products on other clouds as well.
• Microsoft's IP license for OpenAI's models and products continues through 2032, but is now non-exclusive.
• Microsoft will no longer pay OpenAI a revenue share.
• Conversely, the revenue share OpenAI pays to Microsoft will continue through 2030, applying the same rate regardless of technological progress, though with a total cap.
• Microsoft remains a major shareholder in OpenAI.

Both companies stated that this revision increases long-term predictability, and that they will continue collaborating on large-scale data center expansion, next-generation silicon, and cybersecurity applications, among other areas.