Microsoft has managed to spin its US$10 billion investment into OpenAI into an additional $1 trillion market cap.
The world’s second largest company recently surpassed the US$2.7 trillion mark, which represents a 54.68% increase in the company’s share price since the beginning of January 2023.
Analysts attribute this meteoric rise, in part, to the positive impact of the OpenAI investment.
The OpenAI collaboration has already yielded several successful products and services, including the Azure Cognitive Services platform and the GitHub Copilot coding assistant.
The impact of OpenAI's technology is evident in the success of several Microsoft offerings, including Azure Cognitive Services, the Azure AI Platform, and the industry-leading GitHub Copilot.
These AI-powered tools have revolutionised various industries, from healthcare and finance to manufacturing and retail, propelling Microsoft to new heights of growth and profitability.
The success of the OpenAI partnership has not only boosted Microsoft's market value but also enhanced its brand image and reputation as a leader in the tech industry.
This has further strengthened the company's position in key markets such as cloud computing and software development.
Obviously it’s not all beer and skittles.
There was that recent kerfuffle with OpenAI CEO Sam Altman being fired, then reinstated as Chief Executive.
But apart from that, the collaboration between OpenAI and Microsoft is one of the most lucrative and successful partnerships in corporate history - especially from the perspective of Microsoft shareholders.