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OpenAI to launch GPT-5 this summer

OpenAI is renegotiating terms with Microsoft as it prepares for the GPT-5 release.

June 18, 2025 at 05:22 PM
blur Sam Altman Says GPT-5 Coming "This Summer," As OpenAI Starts Eating Palantir's Lunch And Grows Increasingly Territorial With Microsoft

OpenAI is negotiating terms with Microsoft while gearing up to release GPT-5 this summer.

OpenAI pushes Microsoft to change terms as it prepares to launch GPT-5

OpenAI is shaking up its partnership with Microsoft, urging the tech giant to renegotiate their agreement after receiving $13 billion in funding. According to reports, OpenAI seeks a bigger stake for Microsoft and aims to protect its profits and intellectual property rights. As it prepares to launch the next generation of its AI model, GPT-5, this summer, the company is also taking aggressive steps by discounting its enterprise subscriptions. This comes as it wins a significant $200 million contract from the US Department of Defense, marking a shift in major contracts traditionally held by Palantir.

Key Takeaways

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OpenAI is renegotiating its deal with Microsoft to gain more control.
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GPT-5 is expected to launch this summer, strengthening OpenAI's offerings.
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The $200 million DoD contract marks a significant achievement for OpenAI.
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Enterprise subscription discounts could reshape market dynamics.

"probably sometime this summer"

Sam Altman hints at the expected release date for GPT-5.

"OpenAI wants Microsoft to accept a 33 percent stake in its for-profit arm"

This restructuring may lead OpenAI towards going public.

"This marks OpenAI's first significant contract from the Department of Defense"

The contract contrasts OpenAI with previous leaders like Palantir.

"OpenAI is discounting ChatGPT Enterprise by 10 to 20 percent"

This move showcases OpenAI's intent to compete aggressively in the AI market.

OpenAI's assertive stance signals a new phase in the AI industry. As it pushes for more favorable terms with Microsoft, OpenAI's growth can threaten competitors like Palantir and even impact investors. The successful release of GPT-5 could further solidify OpenAI's position in the market, but it must manage relationships and expectations carefully amid rising competition.

Highlights

  • OpenAI aims to change the game with GPT-5 this summer.
  • Negotiations with Microsoft could redefine AI partnerships.
  • OpenAI is not just following trends; it is setting them.
  • A $200 million contract signals OpenAI's rising power.

Negotiations raise concerns about future market dynamics

OpenAI's push for renegotiating its agreement with Microsoft may create tensions and uncertainty in the AI sector, impacting investors and competitors.

The coming months will be crucial for OpenAI as it navigates its next steps in a competitive landscape.

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