Microsoft Corp. generates most of its artificial intelligence revenue from OpenAI, according to new disclosures from the company.
The software giant recorded $24.1 billion in sales from the AI firm during the year ended in June, Microsoft said in a filing last week. Microsoft Chief Executive Officer Satya Nadella said the company was on pace at the end of the March quarter to record $37 billion in revenue over the course of a full year.
Microsoft didn’t update the total AI sales figure when it reported fiscal fourth-quarter earnings last week.
The disclosure suggests that OpenAI accounted for more than half, and likely about 70%, of Microsoft’s actual AI sales during its most recent fiscal year — highlighting how dependent Microsoft remains on its close partner.
Under an agreement between the two companies, OpenAI pays Microsoft for computing power, costs associated with building AI models and a share of its revenue. Microsoft has tried to become less reliant on its partner, backing Anthropic PBC and developing its own models. But investors charting Microsoft’s progress in AI have continued to question how much of its revenue is generated by OpenAI.
Microsoft has only disclosed its total AI business twice. Once for the quarter ending in December 2024, when the company said the unit was on pace to generate more than $13 billion in sales over a year. And in the quarter ending in March, when Microsoft said it was on track to produce more than $37 billion.
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