Microsoft generated $10 billion in revenue from commercial arrangements with OpenAI, including revenue-sharing payments, in the quarter ended September 30, the company said in a regulatory filing on Wednesday. The figure represents nearly 11% of Microsoft's total quarterly revenue of $92.3 billion, underscoring the enormous financial ties that remain between the two companies even as they increasingly compete for the same customers.
Microsoft's financial year begins in July, making the quarter ended September 30, 2026 the first quarter of its fiscal 2027. For the full 2026 fiscal year, revenue from OpenAI hit $24.1 billion, and at its latest quarterly pace Microsoft would pull in about $40 billion annually from OpenAI-related arrangements.
The company also reported $7.2 billion in outstanding receivables from OpenAI at the end of September, up from $6 billion at the end of June. That money represents amounts OpenAI owes for previous transactions, not additional revenue.
It is not clear how much of Microsoft's revenue from OpenAI came from revenue-sharing payments or from Azure cloud computing services.
In November 2025, TechCrunch reported, citing leaked documents, that Microsoft had received $865.8 million in net revenue-sharing payments from OpenAI during the first nine months of that year. OpenAI reportedly shares 20% of its revenue with Microsoft as part of a previous deal in which the software giant invested more than $13 billion in the AI startup. Neither the AI lab nor Microsoft has publicly confirmed that percentage.
As part of an April 2026 agreement, OpenAI is committed to continue sharing revenue with Microsoft through 2030, subject to a cap, even as OpenAI is allowed to work with competing cloud providers. The companies began loosening the ties of their once-exclusive partnership in October 2025, when Microsoft relinquished its hold on OpenAI to give the startup more freedom to partner with other cloud providers. In exchange, OpenAI committed to buying an additional $250 billion in Azure services as part of that agreement.
Microsoft's ownership stake in OpenAI has also declined slightly, from about 25% in June to 24% in September, continuing a gradual decline from roughly 27% following the October 2025 recapitalization. Microsoft did not specify what caused the dilution.
Analysis
Why This Matters
- The disclosure lays bare how deeply the two companies are financially entwined even as they compete for the same customers, with OpenAI now contributing a significant share of Microsoft's quarterly revenue.
- OpenAI's commitment to keep sharing revenue through 2030, subject to a cap, ties a substantial portion of Microsoft's future revenue stream to the startup's performance.
- Rising outstanding receivables, from $6 billion to $7.2 billion in a single quarter, show OpenAI's unpaid balances growing and are worth watching as a sign of strain in the arrangement.
Background
Microsoft invested more than $13 billion in OpenAI as part of an earlier deal under which OpenAI reportedly shares 20% of its revenue with the software giant, a percentage neither company has publicly confirmed. The two companies' once-exclusive partnership began loosening in October 2025, when Microsoft relinquished its hold on OpenAI, and was further reshaped by an April 2026 agreement allowing OpenAI to work with competing cloud providers while it continues revenue-sharing with Microsoft through 2030.
What to Watch
- Whether quarterly revenue from OpenAI keeps climbing toward the roughly $40 billion annual pace Microsoft is currently on.
- Any further decline in Microsoft's ownership stake in OpenAI, which has slipped gradually since the October 2025 recapitalization.
- The trajectory of outstanding receivables, which grew from $6 billion to $7.2 billion over the quarter, indicating how much OpenAI owes for prior transactions.
Checked
12 claims in this story checked against 1 source: 12 supported.
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- SupportedMicrosoft booked $10 billion in quarterly revenue from OpenAI arrangements.AI News & Artificial Intelligence | TechCrunch: “Microsoft recorded $10 billion in revenue from OpenAI.”
- SupportedOpenAI accounted for nearly 11% of Microsoft’s quarterly revenue.AI News & Artificial Intelligence | TechCrunch: “That represents nearly 11% of Microsoft’s total quarterly revenue of $92.3 billion”
- SupportedMicrosoft and OpenAI increasingly compete for the same customers despite their financial ties.AI News & Artificial Intelligence | TechCrunch: “highlighting the enormous financial ties that remain between the two companies even as they increasingly compete for the same customers”
- SupportedMicrosoft generated $10 billion from commercial arrangements with OpenAI, including revenue-sharing payments, in the quarter ended September 30, and said so in a regulatory filing on Wednesday.AI News & Artificial Intelligence | TechCrunch: “Microsoft generated $10 billion in revenue from commercial arrangements with OpenAI, including revenue-sharing payments, in the quarter ended September 30, the company said in regulatory filing on Wednesday.”
- SupportedThe quarter ended September 30, 2026 was the first quarter of Microsoft’s fiscal 2027 because its financial year begins in July.AI News & Artificial Intelligence | TechCrunch: “Microsoft’s financial year begins in July, making the quarter ended September 30, 2026 the first quarter of its fiscal 2027.”
- SupportedMicrosoft’s revenue from OpenAI was $24.1 billion for fiscal 2026.AI News & Artificial Intelligence | TechCrunch: “For the full 2026 fiscal year, revenue from OpenAI hit $24.1 billion.”
- SupportedAt the latest quarterly pace, Microsoft would bring in about $40 billion annually from OpenAI-related arrangements.AI News & Artificial Intelligence | TechCrunch: “At its latest quarterly pace, Microsoft would pull in $40 billion annually from OpenAI-related arrangements.”
- SupportedMicrosoft reported $7.2 billion in outstanding receivables from OpenAI at the end of September, up from $6 billion at the end of June.AI News & Artificial Intelligence | TechCrunch: “Microsoft also reported $7.2 billion in outstanding receivables from OpenAI at the end of September, up from $6 billion at the end of June.”
- SupportedThe receivables are amounts OpenAI owes for previous transactions, not additional revenue.AI News & Artificial Intelligence | TechCrunch: “That money represents amounts OpenAI owes for previous transactions, not additional revenue.”
- SupportedIt is unclear how much of Microsoft’s OpenAI revenue came from revenue-sharing payments versus Azure cloud services.AI News & Artificial Intelligence | TechCrunch: “It’s not clear how much of Microsoft’s revenue from OpenAI came from revenue-sharing payments or Azure cloud computing services.”
- SupportedTechCrunch reported in November 2025, citing leaked documents, that Microsoft received $865.8 million in net revenue-sharing payments from OpenAI during the first nine months of that year.AI News & Artificial Intelligence | TechCrunch: “In November 2025, TechCrunch reported , citing leaked documents, that Microsoft had received $865.8 million in net revenue-sharing payments from OpenAI during the first nine months of that year.”
- SupportedOpenAI reportedly shares 20% of its revenue with Microsoft, but neither company has publicly confirmed that percentage.AI News & Artificial Intelligence | TechCrunch: “OpenAI reportedly shares 20% of its revenue with Microsoft”
