Microsoft and OpenAI are at odds over a contractual provision related to artificial general intelligence, The Information reported on Wednesday (paywall).
Under the current terms, when OpenAI achieves AGI, Microsoft’s access to such a technology would be void. Microsoft wants OpenAI to remove that clause but so far OpenAI has refused, the report said.
“We have a long-term, productive partnership that has delivered amazing AI tools for everyone. Talks are ongoing and we are optimistic we will continue to build together for years to come,” OpenAI and Microsoft said in a joint statement.
The report comes at a time when one of the most pivotal partnerships in the field of AI is under strain.
OpenAI needs Microsoft’s approval to complete its transition into a public-benefit corporation. But the two have not been able to agree on details even after months of negotiations, according to sources.
Microsoft partnered with OpenAI in 2019, investing US$1-billion to support the start-up’s development of AI technologies on its Azure cloud platform. — Niket Nishant and Nathan Gomes, with Harshita Meenaktshi, (c) 2025 Reuters
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