SoftBank endorses OpenAI’s restructure plan, but what will Microsoft do?

OpenAI

SoftBank has formally backed OpenAI’s revised restructuring plan, a move that clears one major hurdle for the AI startup as it seeks to maintain investor confidence while preserving its nonprofit roots. The Japanese conglomerate had tied $30 billion of its $40 billion funding commitment to structural changes—making its support critical, according to a report by CNBC.

OpenAI recently reversed course on a full transition to a for-profit model after mounting criticism from civic leaders, alumni, and even Elon Musk. Instead, it will keep its nonprofit entity in control while converting its for-profit operations into a public benefit corporation—a hybrid model that allows for profit-making while prioritizing social good.

SoftBank’s CFO Yoshimitsu Goto confirmed during an earnings call Tuesday that the new direction aligns with expectations, as per the report. “Nothing has really changed,” he said, reiterating that OpenAI still must complete the restructure by year-end to secure the full $30 billion investment. Otherwise, SoftBank may scale back its contribution to $20 billion.

Still, OpenAI’s path forward isn’t fully clear. Microsoft, a major partner and investor, hasn’t signed off on the restructure, per Bloomberg and The Financial Times. The two companies are reportedly renegotiating terms of their multibillion-dollar relationship—Microsoft’s support is essential for the overhaul to move ahead smoothly.

Goto didn’t comment on Microsoft specifically but acknowledged potential roadblocks. “There are different stakeholders… this may not go as smooth as we hope,” he said.

For now, SoftBank’s green light keeps OpenAI’s ambitious funding and governance plans alive. But until Microsoft weighs in, it still remains unclear how OpenAI will restructure.