Satya Nadella Says Microsoft Will “Exploit” New OpenAI Deal as AI Partnership Enters New Phase

Microsoft CEO Satya Nadella has expressed strong confidence in the company’s updated partnership with OpenAI, saying the tech giant is well-positioned to fully benefit from the revised agreement. Speaking after a Wall Street analyst questioned the financial impact of the new terms, Nadella described the deal as a “win-win construct” that strengthens long-term collaboration between both companies.

Under the revised arrangement, Microsoft retains access to OpenAI’s intellectual property, including its most advanced AI models and agent technologies. Interestingly, Nadella noted that Microsoft will no longer have to pay OpenAI for access to these systems, while still benefiting from royalty-free usage through 2032—something he says the company is prepared to “exploit” strategically.

Despite concerns that Microsoft might lose its competitive edge as OpenAI expands partnerships with other cloud providers, including Amazon, Nadella dismissed the worries. He pointed to Microsoft’s growing AI business, which has already surpassed a $37 billion annual revenue run rate, driven by rapid enterprise adoption and strong cloud demand.

Nadella also highlighted the financial interdependence between both companies. OpenAI remains a major customer of Microsoft’s cloud infrastructure, contributing significantly through compute and AI accelerator usage. Additionally, Microsoft holds a 27% stake in OpenAI and benefits from its long-term cloud commitment valued at over $250 billion.

Looking ahead, Nadella emphasized that enterprise AI customers increasingly prefer flexibility, often using multiple AI models rather than relying on a single provider. With thousands of businesses already using more than one model on Microsoft’s platforms, he believes the company’s broad ecosystem approach—spanning OpenAI, Anthropic, and open-source models—will remain a key advantage in the evolving AI landscape.