Recent scrutiny of OpenAI’s financials has intensified following a year of significant dealmaking and speculation surrounding a potential IPO. Leaked documents shed light into how much OpenAI pays Microsoft, specifically detailing revenue share payments and compute costs over the past two years, according to a report by tech blogger Ed Zitron. These documents offer a rare glimpse into the financial relationship between the AI powerhouse and the software giant.
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Main Points
The leaked documents reveal substantial revenue share payments from OpenAI to Microsoft. In 2024, Microsoft reportedly received $493.8 million. This figure significantly increased to $865.8 million in the first three quarters of 2025, according to Zitron’s report. This arrangement is reportedly part of an agreement where Microsoft invested over $13 billion in OpenAI, entitling Microsoft to a 20% revenue share. While neither company has officially confirmed this percentage, it has been widely reported.
The financial relationship is further complicated by a reciprocal revenue-sharing arrangement. Microsoft reportedly returns about 20% of the revenues generated from Bing and Azure OpenAI Service back to OpenAI. Bing utilizes OpenAI’s technology, and Azure OpenAI Service provides cloud access to OpenAI’s models for developers and businesses. A source familiar with the matter clarified that the leaked payment figures represent Microsoft’s net revenue share, excluding payments made to OpenAI from Bing and Azure OpenAI royalties. Microsoft deducts these royalties from its internally reported revenue share numbers, making it difficult to ascertain the precise amount Microsoft pays OpenAI.
Implications of OpenAI’s Revenue and Spending
Based on the reported 20% revenue share, OpenAI’s revenue can be estimated. Leaked documents shed light into how much OpenAI pays Microsoft and also allows an inference that OpenAI’s revenue was at least $2.5 billion in 2024 and potentially $4.33 billion in the first three quarters of 2025. These estimates are supported by previous reports from The Information, which placed OpenAI’s 2024 revenue at around $4 billion and its revenue for the first half of 2025 at $4.3 billion. OpenAI CEO Sam Altman has also stated that the company’s revenue is “well more” than $13 billion annually, projecting an annualized revenue run rate exceeding $20 billion by the end of the year and potentially reaching $100 billion by 2027.
However, the documents also reveal significant spending on inference, which is the computational cost of running trained AI models to generate responses. According to Zitron’s analysis, OpenAI may have spent approximately $3.8 billion on inference in 2024, with this expenditure rising to roughly $8.65 billion in the first nine months of 2025. OpenAI has historically relied heavily on Microsoft Azure for compute access, while also establishing partnerships with CoreWeave, Oracle, AWS, and Google Cloud. Previous reports suggest OpenAI’s total compute spend was around $5.6 billion for 2024, with a “cost of revenue” of $2.5 billion for the first half of 2025. A source indicated that while OpenAI’s training spend is primarily non-cash, paid through credits from Microsoft’s investment, inference spending is largely cash-based. These figures suggest that OpenAI might be spending more on inference than it is earning in revenue.
The Broader AI Landscape
The financial details revealed in the leaked documents shed light into how much OpenAI pays Microsoft, and raise questions about the sustainability of the current AI boom. If a leading AI company like OpenAI is potentially operating at a loss due to inference costs, it could have significant implications for the valuations and investments in the broader AI industry. The leaked documents shed light into how much OpenAI pays Microsoft and the associated costs, potentially fueling discussions about a possible AI bubble.
The fact that OpenAI’s inference costs potentially exceed its revenue raises concerns about the long-term viability of its business model and the broader AI market. The high costs of running AI models, particularly for inference, may be a barrier to profitability for many AI companies. This situation could lead to a reassessment of valuations and investment strategies within the AI sector. The documents highlight the delicate balance between revenue and expenditure in the rapidly evolving AI landscape. Microsoft and OpenAI declined to comment on the leaked documents and their implications.
Future Financial Strategies
Understanding how much OpenAI pays Microsoft through revenue sharing offers insights into their financial strategies. As OpenAI continues to develop and deploy increasingly complex AI models, managing compute costs will be critical for achieving profitability. The company’s partnerships with various cloud providers, including Microsoft Azure, CoreWeave, Oracle, AWS, and Google Cloud, suggest a multi-faceted approach to securing compute resources and potentially negotiating better pricing. The leaked documents shed light into how much OpenAI pays Microsoft and may prompt a reevaluation of these partnerships and cost-saving measures.
The leaked documents shed light into how much OpenAI pays Microsoft and the broader financial dynamics between the two companies. This information is crucial for understanding the financial health of both organizations and the potential future direction of the AI industry. As the AI landscape continues to evolve, transparency and scrutiny of financial relationships will be essential for fostering sustainable growth and innovation. Further analysis of OpenAI’s revenue streams, cost structures, and strategic partnerships will be necessary to fully assess its long-term prospects.
In conclusion, the leaked documents shed light into how much OpenAI pays Microsoft, revealing significant revenue share payments and highlighting the substantial costs associated with running AI models. While the financial arrangement between the two companies is complex, the documents provide valuable insights into the economics of the AI industry and the challenges faced by leading AI companies in achieving profitability. The implications of these findings extend beyond OpenAI and Microsoft, potentially impacting the valuations and investment strategies of the broader AI market.
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