OpenAI and Microsoft finally have a new deal
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In the new agreement, Microsoft gets a 27% stake in OpenAI's for-profit business, the OpenAI Group PBC, worth around $135 billion.
The new agreement maintains Microsoft as OpenAI’s frontier model partner and preserves Microsoft’s exclusive rights to OpenAI’s IP and Azure API exclusivity until the threshold of AGI is reached. Under a previous arrangement,
The shift establishes a nonprofit foundation overseeing a for-profit corporation, allowing the world’s most valuable startup to woo investors and secure funds.
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OpenAI Successfully Sheds Its Roots as an Ethical Non-Profit
OpenAI completed its restructuring into a for-profit public benefit corporation, untangling billions of dollars of investment.
According to a Reuters report published on Wednesday, OpenAI is laying the foundation for what could be one of the largest-ever IPOs and is thinking about filing as early as the second half of 2026. In discussions, the company has considered raising $60 billion at the low end, and possibly more, which would value the company at up to $1 trillion.