Tracking the history of the now-deceased OpenAI Microsoft AGI clause
Simon Willison · Simon Willison · 2026-04-27
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Topics: openai-microsoft-partnershipagi-definitionai-governancecorporate-history
Claims
- The OpenAI/Microsoft partnership originally included a clause voiding Microsoft's commercial IP rights to OpenAI technology upon AGI being achieved.
- The definition of AGI evolved from a philosophical one to a financial threshold (~$100 billion in profit generation capacity) to an independent expert panel verification process.
- The April 27, 2026 partnership amendment effectively killed the AGI clause by making revenue share payments independent of OpenAI's technology progress.
- Microsoft's IP license to OpenAI models and products now runs through 2032 as a non-exclusive license.
Key quotes
Revenue share payments from OpenAI to Microsoft continue through 2030, independent of OpenAI's technology progress, at the same percentage but subject to a total cap.
So AGI is now whenever OpenAI's systems are capable of generating $100 billion in profit?
And capitalism came to an end. — Matt Levine, 2023 hypothetical on OpenAI's approach to AGI