Microsoft and OpenAI issue vague update on partnership talks

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Microsoft and OpenAI have put out one of the briefest corporate updates you’ll ever see. In a short joint statement, the two companies revealed they’ve signed a non-binding memorandum of understanding for the “next phase” of their partnership. That’s a fancy way of saying nothing is final yet.

The statement, published on Microsoft’s official blog, makes it clear that actual contracts have not been signed. Both sides are still working on what a definitive agreement will look like. For now, they’re telling the public that the relationship is intact and the focus is still on building “the best AI tools for everyone” with safety as the guiding principle.

This update comes at a time when questions have been swirling about where the partnership is headed. Microsoft has poured billions into OpenAI and deeply integrated its models into products like Windows, GitHub, and Azure. Meanwhile, OpenAI has been pushing its own products, including ChatGPT, which sometimes creates tension with Microsoft’s offerings.

By choosing to release such a minimal update, the companies may have wanted to reassure customers and investors without locking themselves into anything concrete. In other words, the partnership isn’t broken, but it’s also not set in stone.

Whether this memorandum will lead to a stronger formal agreement remains to be seen. Until then, this brief note from two of the most watched players in AI is all we get.

Author

  • Brian Fagioli, journalist at NERDS.xyz

    Brian Fagioli is a technology journalist and founder of NERDS.xyz. Known for covering Linux, open source software, AI, and cybersecurity, he delivers no-nonsense tech news for real nerds.

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