Microsoft loses exclusive OpenAI IP rights as new deal caps revenue share

Microsoft and OpenAI have revised their partnership, ending Microsoft's exclusive license to OpenAI's intellectual property and capping future revenue share payments from OpenAI to Microsoft. The updated agreement, extending until 2032, allows Microsoft to continue licensing OpenAI's technology but on a non-exclusive basis, granting OpenAI greater freedom to partner with other entities. Revenue terms have also changed, with OpenAI continuing revenue share payments to Microsoft until 2030, but now with a total cap. Initially, the news caused Microsoft's shares to drop over 4%, though they later recovered. Despite the loss of exclusivity, Microsoft remains OpenAI's primary cloud partner, with OpenAI products still prioritizing Azure, but OpenAI can now offer services across any cloud provider.

(Source：Crypto Briefing)