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Investing.com -- OpenAI and Microsoft Corporation (NASDAQ:MSFT) are currently in discussions to revise the terms of their multibillion-dollar partnership, according to a Financial Times report on Sunday.
The renegotiation aims to enable OpenAI to initiate a future initial public offering (IPO), while ensuring that Microsoft maintains access to advanced artificial intelligence (AI) models, the report said.
A key point of contention in the negotiations is the amount of equity in OpenAI’s new profit-oriented business that Microsoft will receive in return for its investment of over $13 billion in the company, as per the report.
Microsoft is reportedly willing to relinquish some of its equity stake in exchange for access to new technology developed after the 2030 cutoff.
The terms of a broader contract, initially drafted when Microsoft made a $1 billion investment in OpenAI in 2019, are also being revisited, the report stated.
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