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American Focus > Blog > Tech and Science > The cracks in the OpenAI-Microsoft relationship are reportedly widening
Tech and Science

The cracks in the OpenAI-Microsoft relationship are reportedly widening

Last updated: June 16, 2025 4:21 pm
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The cracks in the OpenAI-Microsoft relationship are reportedly widening
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OpenAI and Microsoft Relationship Reaching a Boiling Point

According to a report from The Wall Street Journal, OpenAI and Microsoft may be facing a critical turning point in their partnership. The report, based on information from anonymous sources, suggests that tensions between the two companies have escalated to the point where OpenAI executives are considering taking action against Microsoft for anticompetitive behavior.

One potential course of action being weighed by OpenAI executives is the public accusation of Microsoft’s anticompetitive practices during their collaboration. Additionally, there has been discussion about seeking a federal regulatory review of the contract between OpenAI and Microsoft.

At the heart of the conflict is OpenAI’s desire to reduce Microsoft’s control over its intellectual property and computing resources while still needing the tech giant’s approval for its conversion to a for-profit entity. The disagreement has come to a head over OpenAI’s proposed $3 billion acquisition of AI coding startup, Windsurf. OpenAI is hesitant to allow Microsoft access to Windsurf’s intellectual property, which could potentially enhance Microsoft’s AI coding tool, GitHub Copilot.

Although Microsoft has played a significant role in fueling OpenAI’s growth in the past, recent developments have strained their relationship. OpenAI has reportedly been exploring ways to decrease its reliance on Microsoft for cloud services in an effort to assert more independence.

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