Microsoft will no longer be the exclusive provider of new cloud computing capacity to OpenAI — a new twist in their relationship that clears the way for OpenAI to work with Oracle and others on the $500 billion Stargate AI project announced by the companies Tuesday with President Trump at the White House.

Microsoft is OpenAI's largest investor, with a 49% stake, translating to $14 billion. As part of its complicated partnership with the ChatGPT maker, Microsoft was once the exclusive cloud computing partner for OpenAI. However, OpenAI's $500 billion investment in computing infrastructure changes its relationship with Microsoft.

Microsoft has clarified its partnership with OpenAI after the latter announced a $500 billion data center initiative.

Microsoft has confirmed that it is no longer the exclusive cloud provider for ChatGPT maker OpenAI despite plans to continue being the AI startup’s leading data center infrastructure provider. The company confirmed in a statement there would be “changes to the exclusivity on new capacity,” but that it would have the right of first refusal.

Microsoft and OpenAI are loosening the tight bond that connects them. In future, OpenAI will be able to obtain cloud capacities for its AI from elsewhere.

The software giant was previously the exclusive cloud provider for OpenAI and now retains right of first refusal.

Microsoft’s deal with OpenAI has ‘evolved’ to include a right of first refusal on supplying new capacity.

Microsoft’s multi-year partnership with OpenAI is taking a new direction as the ChatGPT maker will no longer exclusively choose Microsoft Azure for new cloud capacity.