Microsoft Posts $10 Billion in OpenAI Revenue for Quarter
Microsoft generated $10 billion from commercial arrangements with OpenAI during its first fiscal quarter, highlighting the ongoing financial scale of their partnership.
Radwan AbdulhadiEditor and technology writer
Quarterly Financial Ties
Microsoft generated $10 billion in revenue from commercial arrangements with OpenAI, including revenue-sharing payments, in the quarter ended September 30, according to a regulatory filing. This milestone was disclosed in a regulatory filing shared by TechCrunch.
That revenue represents nearly 11% of Microsoft's total quarterly revenue of $92.3 billion. The figures underscore the enormous financial ties that remain between the two entities, even as both organizations increasingly compete for the same customers across the technology landscape.
Annual Pacing and Outstanding Receivables
Because Microsoft's financial year begins in July, the quarter ended September 30, 2026, marks the first quarter of its fiscal 2027. For the full 2026 fiscal year, revenue derived from OpenAI reached $24.1 billion.
At its latest quarterly pace, Microsoft would pull in $40 billion annually from OpenAI-related arrangements. In addition to realized revenue, Microsoft reported $7.2 billion in outstanding receivables from OpenAI at the end of September, up from $6 billion at the end of June. This balance represents amounts that OpenAI owes for previous transactions rather than additional revenue.
Revenue-Sharing and Cloud Agreements
It remains unclear how much of Microsoft's total revenue from OpenAI came specifically from revenue-sharing payments versus Azure cloud computing services. Previously, TechCrunch reported on leaked documents regarding earlier payment structures.
OpenAI reportedly shares a portion of its revenue with Microsoft as part of an earlier deal tied to the software giant's multibillion-dollar investments in the AI startup. Under an agreement from April 2026, OpenAI is slated to continue sharing revenue with Microsoft through 2030, subject to a cap, while also gaining the flexibility to work alongside competing cloud providers.
Shifting Partnership Dynamics
The operational ties between the two companies began to loosen in October 2025, when Microsoft relinquished its exclusive hold on OpenAI. That shift granted the startup increased freedom to partner with alternative cloud providers.
In exchange for this flexibility, OpenAI committed to purchasing an additional $250 billion in Azure services under the October 2025 agreement.
Equity Ownership Changes
Alongside commercial adjustments, Microsoft's equity ownership stake in OpenAI has experienced a slight decrease. The stake declined from approximately 25% in June down to 24% in September.
This movement continues a gradual decline from roughly 27% following a recapitalization event in October 2025. Microsoft did not specify the precise cause behind the share dilution in its filing.
Sources
- TechCrunchMicrosoft recorded $10 billion in revenue from OpenAI
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