OpenAI warns: Relationship with Microsoft poses a risk ahead of potential IPO

GateUser-bd883c58 · 2026-03-30T13:53:31+00:00

OpenAI emphasizes the dependency risk on Microsoft during its IPO preparations, stating that Microsoft's funding and computing support are vital to its business. The company aims to diversify its partnerships before the IPO to reduce potential impacts. Microsoft is also a significant investor, and the two parties maintain a close relationship.

GateUser-bd883c58

2026-03-30 13:53:31

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Ask AI · Why did OpenAI highlight its reliance on Microsoft before its IPO?

Source: Global Market News

On March 24, OpenAI said that its close relationship with Microsoft could become a potential risk to its business, and told investors that the software company is responsible for “a large portion of our fundraising and compute power.”

The report said OpenAI cited a financial document similar to an IPO prospectus, which included sections titled “Risks related to the transaction” and “Risks related to our business.” The document was shared by OpenAI with potential investors in connection with its recent record-breaking funding round.

The report said the company is working with banking partners to secure additional $10 billion in commitments from a broader range of investors, adding that the round is expected to be completed by the end of March.

“If Microsoft were to modify or terminate our commercial relationship, or if we are unable to successfully diversify our business partners, our business, prospects, operating results, and financial condition could be adversely affected,” OpenAI said.

“An OpenAI spokesperson said:” Microsoft is, and will continue to be in the future, one of our important long-term business partners,” adding that this disclosure is a standard legal risk factor and is not related to any potential IPO prospectus.

Microsoft did not immediately respond to a request for comment.

Citing three people familiar with the matter, Reuters reported last year that OpenAI is laying the groundwork for an initial public offering, which could value the company at as much as $1 trillion and is expected to list as early as the second half of 2026.

Microsoft was one of OpenAI’s earliest investors, injecting $1 billion in 2019 and $10 billion in early 2023. In September of this year, the two sides signed a non-binding deal under new relationship terms, paving the way for deals signed by OpenAI with SoftBank, Nvidia, and Amazon.

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