On April 27th, Microsoft and OpenAI changed their original 2019 agreement. Previously, OpenAI’s models were limited to Microsoft’s cloud platform, but now they’re open to being offered on other cloud services like Amazon Web Services and Google Cloud. Amazon CEO Andy Jassy announced that OpenAI models will be available on AWS Bedrock very soon.
Summary
- OpenAI Microsoft exclusivity is gone: the new terms give Microsoft a non-exclusive licence to OpenAI’s IP through 2032, while OpenAI remains obligated to ship new models to Azure first.
- Microsoft stops paying its revenue share to OpenAI immediately, while OpenAI continues paying Microsoft through 2030 subject to an undisclosed total cap.
- The restructuring resolves the legal conflict triggered by OpenAI’s $50 billion Amazon investment in February, which had granted AWS exclusive third-party cloud distribution for OpenAI’s enterprise platform Frontier.
OpenAI and Microsoft have changed their partnership after seven years of Microsoft being the only cloud provider for OpenAI’s technology. As reported by crypto.news, OpenAI’s AI models are now available to customers of Amazon Web Services (AWS) through a service called Amazon Bedrock, allowing businesses to create AI-powered tools within AWS. OpenAI’s leadership explained that the previous agreement with Microsoft restricted their ability to work with other companies, and the demand for an AWS offering has been incredibly high. AWS CEO Matt Garman stated that customers have been requesting this change for a long time. Under the new deal, which lasts until 2032, Microsoft will no longer share revenue with OpenAI, but OpenAI will continue to pay Microsoft until 2030. Google Cloud is now evaluating the new terms to see how they can potentially partner with OpenAI.
The recent changes to the relationship between Microsoft and OpenAI involve specific financial and legal details. As TechCrunch reported, Microsoft had been prepared to take legal action because a previous deal gave Amazon’s AWS exclusive rights to distribute OpenAI’s business platform, Frontier. However, the restructuring announced on April 27th resolves this issue by clarifying that Microsoft’s license is not exclusive. Microsoft still owns about 27% of OpenAI’s for-profit side and earned $7.5 billion last quarter from that investment. This change means businesses can now use Amazon’s AWS or, in the future, Google Cloud to run applications using OpenAI’s models, instead of being limited to Microsoft’s Azure. According to crypto.news, this restructuring has been in the works since June 2025, as the two companies’ competing products – like GitHub Copilot and OpenAI’s Windsurf, as well as Microsoft’s own AI models – made the exclusive arrangement unsustainable for both sides.
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2026-05-01 21:05