Microsoft announced on Monday that it will no longer share a portion of its revenue with ChatGPT maker OpenAI, marking the latest step in distancing itself from the close partnership that helped spark the AI boom.

Microsoft will continue licensing OpenAI's technology until 2032 but is ending its exclusive partnership with the AI company, according to announcements from both firms on Monday.

OpenAI is projecting a major expansion in advertising revenue, with internal forecasts estimating $2.5 billion in ad income this year and up to $100 billion annually by 2030.

OpenAI expects its annual revenue to grow rapidly over the coming years and exceed $280 billion by 2030, according to a person familiar with the matter.

OpenAI generated approximately $4.3 billion in revenue during the first half of 2025, marking a 16% increase over its total revenue for 2024, according to The Information.

OpenAI has reached $10 billion in annual recurring revenue (ARR), achieving this milestone in under three years since the launch of its widely used ChatGPT chatbot.

OpenAI anticipates a significant revenue increase, expecting to more than triple its earnings to $12.7 billion this year, fueled by the strong performance of its paid artificial intelligence software, according to an insider familiar with the company’s financial outlook.