alt Hacker News> Microsoft will no longer pay a revenue share to OpenAI.
I feel this looks like a nice thing to have given they remain the primary cloud provider. If Azure improves it's overall quality then I don't see why this ends up as a money printing press as long as OpenAI brings good models?
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Does this mean Microsoft gets OpenAI's models for "free" without having to pay them a dime until 2032?
And on top of that, OpenAI still has to pay Microsoft a share of their revenue made on AWS/Google/anywhere until 2030?
And Microsoft owns 27% of OpenAI, period?
That's a damn good deal for Microsoft. Likely the investment that will keep Microsoft's stock relevant for years.
Does anyone expect azure quality to improve? Has it improved at all in the last 3 years? Does leadership at MS think it needs to improve?
I doubt it
OpenAI was also threatening to accuse "Microsoft of anticompetitive behavior during their partnership," an "effort [which] could involve seeking federal regulatory review of the terms of the contract for potential violations of antitrust law, as well as a public campaign" [1].
[1] https://www.wsj.com/tech/ai/openai-and-microsoft-tensions-ar...