Executives at OpenAI are reportedly contemplating the possibility of accusing Microsoft of anticompetitive behavior within the scope of their partnership, according to a report from the Wall Street Journal citing sources familiar with the discussions.
OpenAI may pursue a federal regulatory examination of its contractual agreements with Microsoft to investigate potential breaches of antitrust laws, along with initiating a public campaign related to these issues, the report indicates.
This potential course of action could jeopardize a crucial alliance in the rapidly evolving area of Artificial Intelligence (AI).
To transition into a public-benefit corporation, OpenAI requires Microsoft’s endorsement. However, the two entities have struggled to reach consensus on various aspects of their agreement, even after protracted negotiations, sources conveyed.
Discussions are underway between the companies to modify the terms of Microsoft’s investment, including the proportion of equity that Microsoft would hold in OpenAI moving forward, according to insiders.
Additionally, The Information has reported that OpenAI is seeking a 33 percent ownership stake for Microsoft in a newly structured unit, in return for relinquishing claims to future profits, as described by an individual familiar with the company’s executives.
OpenAI is also looking to amend existing agreements that grant Microsoft exclusive rights to host its models on Microsoft’s cloud platform, the report stated.
Microsoft has yet to accept these proposed conditions from OpenAI and is reportedly requesting further concessions from the startup, as per The Information.
In a joint statement to Reuters, the companies remarked, “Talks are ongoing and we are optimistic we will continue to build together for years to come.”
In 2019, Microsoft made a significant investment of $1 billion (approximately Rs. 8,608 crore) in OpenAI to bolster the startup’s AI technology development on its Azure cloud platform.
However, OpenAI has been actively seeking to lessen its dependence on Microsoft, with plans to incorporate Alphabet’s Google Cloud service to accommodate its increasing computing capacity requirements, as reported by Reuters earlier this month.
© Thomson Reuters 2025
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
