As OpenAI attempts to restructure itself and eventually go public, a hurdle for the startup, recently valued at $500 billion, is its increasingly complicated partnership with Microsoft. On Thursday afternoon, the two companies released this joint statement about an agreement they’ve reached. Microsoft has invested $13 billion in OpenAI since 2019, and shares in the revenue earned by ChatGPT as well as its API. Microsoft also now includes OpenAI as a competitor, allows OpenAI to lean on other cloud providers for compute power, and has started to increase its reliance on its own AI models. In a company town hall meeting on Thursday, Microsoft CEO Satya Nadella and AI chief Mustafa Suleyman committed to “significant investments” in its own models. “We should have the capacity to build world class frontier models in house of all sizes, but we should be very pragmatic and use other models where we need to,” said Suleyman.

Full report : OpenAI and Microsoft say they “signed a non-binding memorandum of understanding for the next phase of our partnership”, and are working to finalize the terms.