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GitGudOrGetGot t1_j3wmiz8 wrote

Can anyone explain to me the mechanism by which investing $$$ allows Microsoft to gain some exclusive access to GPT which other firms don't get?

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fintechSGNYC OP t1_j3wnm1o wrote

They invest 10 billion USD at a 29 billion USD valuation so they control 34.5% of the voting rights which means blocking minority and hence certainly some clauses that direct competitors can't be ChatGPT clients without their approval.
The deal likely also comes with typical clauses such as "right of first refusal" so the company can't be sold to a competitor either without their consent.

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yaosio t1_j3wv34w wrote

They already are the exclusive provider of compute for GPT-3 through Azure. This is Microsoft buying part of the company.

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