Microsoft’s not letting go of OpenAI folks. In fact they’re reportedly deep in negotiations with OpenAI to lock in a long-term deal that would guarantee access to OpenAI’s tech—even if (or when) it hits AGI (Artificial General Intelligence), aka the holy grail of AI development.
Why does this matter?
Because right now, Microsoft’s access to OpenAI’s tech is technically set to expire the moment OpenAI decides it’s achieved AGI. Which is… vague. And risky. Especially considering Microsoft has built a huge chunk of its AI empire around OpenAI’s models.
And let's not forget that OpenAI’s ultimate goal is to become fully for-profit—and with its previous deal with Microsoft being one of the main obstacles, the outcome of this negotiation could remove a key hurdle in its transition to a fully commercial enterprise.
Which brings us to the main point: What does Microsoft stand to gain in this? Well according to reports they’re aiming for:
A fresh agreement that secures its access beyond the current deal, which ends in 2030 or when AGI is achieved—whichever comes first.
A bigger equity stake in the newly restructured for-profit OpenAI (word on the street: around a low- to mid-30% range).
A safety clause that ensures OpenAI’s tech is deployed responsibly especially as the systems get more advanced.
And of course a rock-solid guarantee that its massive AI ecosystem—from Azure to Copilot to GitHub—stays powered by OpenAI’s brains.
Talks have been ongoing for months, and while Bloomberg reports they’re now in an advanced stage, finalizing the deal could still take a few more weeks.
But of course… there’s drama:
OpenAI is still operating under that weird hybrid model: a nonprofit parent overseeing a capped-profit subsidiary.
That structure was meant to keep the company mission-aligned, but let’s be real—it’s raised billions, operates like a full-on tech giant, and clearly wants more flexibility.
Meanwhile, regulators are circling, and Elon Musk’s lawsuit is applying even more pressure, challenging OpenAI’s pivot to full-on capitalism
Oh—and no one actually agrees on what “AGI” officially means, so that whole clause is already chaos waiting to happen.
What’s at stake for Microsoft?
Honestly? A lot.
They’ve already dropped $13.75 billion into OpenAI, and so much of Microsoft’s AI strategy depends on access to its models. If OpenAI suddenly hits AGI and cuts the cord, Microsoft could lose its golden goose mid-lay. Not to mention:
Microsoft’s AI stack—from infrastructure to product—is deeply baked into OpenAI’s ecosystem.
And reportedly, OpenAI’s planning to give Microsoft a smaller revenue cut moving forward.
So yeah—they’re trying to future-proof their position before things get real.
The Big Picture:
This isn’t just another tech contract. It’s a high-stakes power play over the future of AI.
OpenAI wants to evolve, ditch its training wheels, and fully commercialize
Microsoft wants to make sure it doesn’t get pushed out once things scale past human-level smarts.
If the deal goes through, Microsoft gets what it needs: long-term access, more control, and a firm seat at the AGI table.
We’ll be watching to see who gets what they want—and what it’ll cost, because this one? It’s gonna echo for years
And trust us to keep you posted when (not if) things escalate.
Here’s the full report.
