Microsoft, OpenAI restructure deal: What two companies gain and lose under the new agreement

OpenAI, the creator of ChatGPT, has completed a major corporate restructuring, converting its core business into a traditional for-profit entity called OpenAI Group PBC, which will remain under the control of its non-profit arm, now dubbed the OpenAI Foundation. The move, which took nearly a year to negotiate and removes a significant cloud of uncertainty, redefines its relationship with long-time backer Microsoft and clarifies what each party gains and loses.

This deal formalizes the long-term, intertwined nature of the Microsoft-OpenAI partnership while granting OpenAI the operational freedom necessary for its rapidly expanding commercial ambitions. It keeps the two companies intertwined until at least 2032.