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Microsoft's $13 Billion Bet on OpenAI Pays Off

10/31/2025

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Story summary
  • Microsoft's OpenAI investment began in 2019 with $1 billion and is now valued at approximately $135 billion.
  • Satya Nadella, Microsoft CEO, noted early skepticism from Bill Gates, but investment paid off.
  • Microsoft has committed a total of $13 billion to OpenAI.
  • Recent earnings show a $3.1 billion net income hit from OpenAI's losses.
  • OpenAI's losses totaled about $11.5 billion for the quarter, while Azure revenue rose 40%.