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OpenAI announces SoftBank partnership as fallout from DeepSeek continues

Feb 3, 2025, 6:56am EST
North America
OpenAI CEO Sam Altman.
Kim Kyung-Hoon/Reuters
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OpenAI announced a joint venture with Japan’s SoftBank on Monday, with the investment giant spending $3 billion a year to use OpenAI software, in an apparent change of strategy following DeepSeek’s unexpected rise.

The Chinese firm’s cutting-edge artificial intelligence model uses only a fraction of the computing power of OpenAI’s ChatGPT and similar products, upending widespread assumptions about the technical and financial requirements of AI expansion.

Meanwhile, the AI firm’s CEO Sam Altman said he was considering making his products open-source, like DeepSeek’s are, potentially meaning anyone could use and repurpose OpenAI’s models: Altman said on Reddit that OpenAI had been “on the wrong side of history” by keeping its source code private.

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