Overview
- OpenAI converted its commercial arm into OpenAI Group PBC under control of the OpenAI Foundation, which holds an equity stake valued at roughly $130 billion.
- Microsoft secured a roughly 27% holding valued near $135 billion and retains access to OpenAI models and research through 2032, including post‑AGI systems verified by an independent expert panel.
- OpenAI committed to purchase $250 billion of Azure capacity as Microsoft relinquishes its right of first refusal on compute, giving OpenAI flexibility to use other cloud providers.
- Regulators signaled no opposition, with Delaware’s attorney general issuing a statement of no objection and California’s attorney general saying the state will not be in court opposing the recapitalization.
- The agreement removes fundraising constraints and is viewed as paving a path toward a potential public listing, with analysts noting Microsoft’s near tenfold paper gain on prior investments and shares rising on the news.