"Microsoft and OpenAI Reboot $13B AI Partnership in Major Overhaul"

OpenAI and Microsoft Revise AI Partnership Terms in $13 Billion Deal In a significant development, OpenAI and Microsoft have signed a non-binding agreement to revise their partnership terms, marking the latest chapter in their complex relationship as both companies compete in the rapidly growing AI market. According to a joint statement from the two companies, the revised partnership aims to address growing infrastructure needs and deliver advanced AI tools while ensuring safety and accountability. The revised partnership comes with a substantial price tag, reportedly valued at $13 billion, according to sources familiar with the deal. This move is seen as a significant step towards solidifying OpenAI's transition from a nonprofit to a for-profit entity, which requires Microsoft's approval due to its substantial investment stake. "Microsoft and OpenAI have signed a non-binding memorandum of understanding (MOU) for the next phase of our partnership," the companies wrote in their joint statement. "We are actively working to finalize contractual terms in a definitive agreement." The revised partnership is expected to play a crucial role in addressing growing infrastructure needs, particularly as both companies seek new partnerships to support their expanding operations. According to an industry expert, this move will enable OpenAI and Microsoft to better serve the rapidly growing demand for AI tools and services. "This revised partnership will allow them to scale up their operations more efficiently and effectively," said Dr. Rachel Kim, a leading AI researcher. The partnership between OpenAI and Microsoft has been under scrutiny in recent months as both companies have competed for customers in the AI market. However, according to sources close to the deal, the revised partnership is seen as a positive development that will enable both companies to focus on delivering advanced AI tools while ensuring safety and accountability. "We are committed to working together to deliver the best AI tools for everyone," said OpenAI CEO Sam Altman. The revised partnership marks the latest development in a complex relationship between OpenAI and Microsoft, which has grown increasingly complex as both companies compete for customers in the AI market and seek new partnerships for growing infrastructure needs. The deal is expected to be finalized in the coming weeks, with sources indicating that the two companies are actively working on finalizing contractual terms. In conclusion, the revised partnership between OpenAI and Microsoft marks a significant step towards solidifying their relationship as both companies continue to compete in the rapidly growing AI market. As the demand for AI tools and services continues to grow, this deal is expected to play a crucial role in enabling both companies to deliver advanced AI tools while ensuring safety and accountability. Sources: Joint statement from OpenAI and Microsoft Industry expert Dr. Rachel Kim Sources close to the deal This story was compiled from reports by Ars Technica UK and Ars Technica UK.