The Economic Times

Did Microsoft lose its AI edge? What changed in the Microsoft OpenAI deal and why Microsoft stock fell while Amazon stock surged?

What changed in the Microsoft OpenAI deal? Microsoft stock fell 23% after the Microsoft OpenAI deal ended exclusivity, shaking the AI market overnight. Microsoft lost its Azure-only control. OpenAI can now sell across all clouds. That shift unlocked new growth for Amazon. But the real story runs deeper. The Microsoft OpenAI deal removes Microsofts revenue payments while keeping income flowing from OpenAI until 2030. It also keeps long-term access to AI models. This is not a loss. It is a redesign. Microsoft moved from control to scale. From gatekeeper to global earner.