"In 2019, Microsoft agreed to supply OpenAI all the compute it needed, with near exclusivity. In exchange, Microsoft retained the right to use OpenAI's tech until the arrival of artificial general intelligence, or AGI: the point at which AI systems are able to act like humans and respond to whatever task they're given, regardless of whether they've been trained to solve it."
"In addition, Microsoft feared that OpenAI's plans to restructure toward a public benefit corporation and open its platform could dilute its influence. Then, in late October, the companies announced a new arrangement, one that looks like a win for Microsoft. "Microsoft's IP rights for both models and products are extended through 2032 and now include models post-AGI, with appropriate safety guardrails," according to a company blog post announcing the renegotiation."
Microsoft committed in 2019 to supply OpenAI with near-exclusive compute, and retained rights to use OpenAI's technology until the arrival of artificial general intelligence (AGI). Generative AI capabilities exceeded expectations, making the timing of AGI a contentious point in the agreement and raising Microsoft fears that OpenAI's shift to a public benefit corporation and platform openness could dilute Microsoft influence. Microsoft renegotiated terms in late October, extending IP rights for models and products through 2032 and explicitly including models post-AGI with safety guardrails. Microsoft had invested more than $13 billion and sought to secure continued access to advanced models.
Read at Fast Company
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