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Microsoft Engages in Talks to Extend Access to OpenAI Technology, Reports Bloomberg News

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Microsoft in advanced talks for continued access to OpenAI tech, Bloomberg News reports

Microsoft (MSFT) is in advanced negotiations for a new deal with OpenAI, aiming to secure uninterrupted access to essential AI technology, including upcoming models, according to Bloomberg News. This new arrangement is crucial, particularly as OpenAI approaches the potential achievement of artificial general intelligence (AGI), which could limit Microsoft’s current rights under existing contracts. Ongoing discussions over contract revisions are expected to conclude in weeks. OpenAI’s transition into a public-benefit corporation also requires Microsoft’s consent, complicating the negotiations. There are tensions over the AGI contract clause, and OpenAI faces scrutiny from co-founder Elon Musk, who is suing the firm for diverging from its original mission. Meanwhile, Microsoft’s earnings report comes as the relationship with OpenAI gains focus, especially with the startup exploring partnerships with competitors like Google (GOOG) and Oracle (ORCL) for cloud services, highlighting the importance of this ongoing collaboration.

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