Microsoft CEO Satya Nadella was asked point-blank by a Wall Street analyst on Wednesday how its revised OpenAI partnership would impact Microsoft’s financials.
He said that the new agreement was a good deal for everyone. “We feel good about our partnership with OpenAI. I’m always very focused on any partnership and ensuring that there’s a win-win construct at all times. I mean, that’s how you can remain good partners.”
He underscored that Microsoft has retained its access to OpenAI’s intellectual property — including its models and agent products — but that it no longer has to pay OpenAI for them.
Referring to royalty-free access to OpenAI’s most advanced AI through 2032, Nadella said: “We have a frontier model, with all the IP rights that we will have access to all the way to ’32 and we fully plan to exploit it.”
There was certainly plenty of ink spilled speculating that the new deal, in which Microsoft no longer has exclusive access to OpenAI’s tech, would cause the software giant to lose its edge in AI. OpenAI immediately announced exclusive AI products with Microsoft’s largest cloud rival, Amazon (complete with Sam Altman and AWS CEO Matt Garman doing interviews about their collaboration).
