Microsoft has announced significant changes to its long-standing partnership with OpenAI, reshaping key commercial and technology arrangements as both companies scale their artificial intelligence ambitions.

The updated agreement is designed to provide greater flexibility and clarity while maintaining collaboration on AI platforms and infrastructure.

Under the revised terms, Microsoft will remain OpenAI’s primary cloud partner, with OpenAI products continuing to be launched first on Microsoft’s Azure platform unless specific capabilities cannot be supported. At the same time, OpenAI will now be able to offer its products across multiple cloud providers.

The agreement also adjusts intellectual property rights, with Microsoft retaining access to OpenAI’s models and products through 2032. However, the license will shift to a non-exclusive structure.

Financial terms have also been reworked. Microsoft will no longer pay a revenue share to OpenAI, while OpenAI will continue revenue-sharing payments to Microsoft through 2030 at the same rate, subject to a capped total. Microsoft will also remain a major shareholder in OpenAI.

The companies said the revised framework aims to simplify how they work together while enabling each to pursue new opportunities independently.

Despite the changes, both firms emphasized that their collaboration will continue across key areas, including large-scale data center expansion, next-generation silicon development, and the application of AI in sectors such as cybersecurity.