Microsoft feared that OpenAI might jump to Amazon and badmouth Azure “on the way out” — internal emails revealed in court
windowscentral.com May 11, 2026

Microsoft feared that OpenAI might jump to Amazon and badmouth Azure “on the way out” — internal emails revealed in court

AI-summarised brief · reviewed before publication

Microsoft executives expressed concerns about investing in OpenAI, fearing the AI startup could partner with Amazon and criticize Microsoft's Azure. In 2017, OpenAI CEO Sam Altman proposed a partnership with Microsoft, seeking significant computing power to scale its Dota 2 project. Microsoft executives, including Jason Zander and Kevin Scott, were skeptical about the deal, citing high costs and potential PR downsides. Despite initial reservations, Microsoft eventually invested in OpenAI, with a $1 billion deal in 2019. The investment was made after OpenAI shifted its focus to natural language processing models like ChatGPT. Court documents have revealed internal emails discussing the partnership, including concerns about OpenAI's potential departure to Amazon.

💡 Why It Matters

  • · Microsoft's exclusive rights deal with OpenAI is now at risk due to a potential $50 billion deal with Amazon.
  • · The revelation of internal Microsoft emails highlights the company's long-standing concerns about OpenAI's loyalty.