Microsoft's Early Investment in OpenAI Faced Internal Skepticism

In 2019, Microsoft invested $1 billion in OpenAI, a decision that CEO Satya Nadella recently described as a significant risk. In an interview with "TPBN," Nadella recalled that even within Microsoft, securing board approval for such a substantial investment was challenging. He noted that founder Bill Gates cautioned that the funds might be lost, given OpenAI's status as a nonprofit at the time. Despite these concerns, Microsoft proceeded, demonstrating a high tolerance for risk. Since then, the partnership has expanded, with Microsoft investing over $13 billion in OpenAI. The AI startup gained widespread recognition in November 2022 with the release of ChatGPT, which attracted a million users within five days. As of October 6, 2025, OpenAI CEO Sam Altman reported that more than 800 million people use ChatGPT weekly. On October 28, 2025, OpenAI completed its restructuring, with its nonprofit arm overseeing a new public benefit corporation. Following these changes, Microsoft holds a 27% stake in OpenAI's for-profit business, valued at approximately $135 billion. Microsoft's shares have risen nearly 29% year to date.