OpenAI is making big moves, like getting ready for its new big model, GPT-5, coming out this summer. The firm is also looking to change its key deal with Microsoft and is moving into new areas, notably winning a huge deal with the US Department of Defense (DoD).
OpenAI, known for having a non-profit own a for-profit part, has a tricky money tie with Microsoft. Microsoft put in $13 billion for 49 percent of OpenAI's future money (with a cap), 20 percent of sales, and IP rights until 2030.
New info from The Information says OpenAI now wants Microsoft to agree to own 33 percent of its money-making part and drop rights to sales, future money, and IP. This change might help OpenAI start selling shares to the public.
At the same time, OpenAI is said to offer cuts of 10 to 20 percent on ChatGPT Enterprise plans for buyers who get more OpenAI stuff.
The US Chief Digital and Artificial Intelligence Office (CDAO) gave OpenAI a $200 million, one-year deal for new AI prototypes. Louie DiPalma from William Blair said this is OpenAI's first big DoD contract, a field where firms like Palantir usually lead. Every year, this deal is one of the DoD's biggest. For example, Palantir's big Maven Smart System runs at about $210 million yearly.
As this goes on, rival xAI is burning through cash, about $1 billion a month, and wants $9.3 billion more, says Bloomberg. xAI thinks it will make $500 million this year.
Meanwhile, OpenAI boss Sam Altman said Meta tried to get OpenAI's people with up to $100 million in signing money, but "none of our best people" took the offers.
In a big talk on OpenAI's first podcast, CEO Sam Altman shared that GPT-5 should come out this summer. Asked for exact dates, Altman said, "probably sometime this summer," and added, "I don't know exactly when."
