The cracks in the OpenAI-Microsoft relationship are reportedly widening

OpenAI and Microsoft may be reaching an inflection point in their relationship, according to a report from The Wall Street Journal.

The report, citing anonymous sources, says OpenAI executives have considered publicly accusing Microsoft of anticompetitive behavior throughout their partnership. OpenAI executives also mulled whether to seek a federal regulatory review of their contract with Microsoft.

OpenAI is trying to loosen Microsoft’s grip on its intellectual property and computing resources, but the startup also needs the tech giant’s approval to complete its for-profit conversion.

The two companies are in a standoff over OpenAI’s $3 billion acquisition of the AI coding startup, Windsurf. OpenAI doesn’t want Microsoft to get Windsurf’s intellectual property — which could enhance the cloud provider’s own AI coding tool, GitHub Copilot — according to the report.

While Microsoft was once a major accelerant to OpenAI’s growth, the companies’ relationship has grown tense. In recent months, OpenAI has reportedly tried to reduce its reliance on Microsoft for cloud services.