🤖 Microsoft Pulled the Plug on OpenAI’s $3 Billion Deal

Sign Up | AI Toolkit | Meet The Team

Welcome back AI enthusiasts!

In today’s Daily Report:

• 🔌Microsoft Pulled the Plug on OpenAI’s $3 Billion Deal

• 🔬AI Helps Doctors Decode Medical Images

• 🛠Trending Tools

• 🥪Brief Bites

• 💰Funding Frontlines

• 💼Who’s Hiring?

Read Time: 3 minutes

🗞RECENT NEWS

AI DRAMA

🔌Microsoft Pulled the Plug on OpenAI’s $3 Billion Deal

OpenAI’s plans to acquire Windsurf for $3 billion fell apart on Friday due to complications with Microsoft. So, what the heck happened?

Key Details:

• Microsoft has invested over $13 billion into OpenAI, gaining access to cutting-edge AI models to develop AI-powered features for Microsoft 365 Apps like Outlook, Word, and Excel.

• Microsoft also gets 20% of OpenAI’s revenue until 2030. That means 20% of the money OpenAI earns from selling products or services is given to Microsoft. Now, OpenAI wants to reduce that amount from 20% to 10% to prioritize restructuring efforts.

• OpenAI recently raised a $30 billion Series F funding round at a $300 billion valuation. However, SoftBank Group Inc.’s $30 billion investment is contingent on OpenAI restructuring into a Delaware Public Benefit Corporation (PBC).

• OpenAI can’t just flip a switch and restructure into a Delaware PBC without Microsoft’s approval because it would risk a breach of contract. In other words, OpenAI needs Microsoft’s approval to restructure. The only issue is OpenAI and Microsoft don’t see eye to eye on anything right now.

• Microsoft’s existing contract with OpenAI also gives it automatic rights to any Intellectual Property (IP) OpenAI acquires, unless Microsoft agrees to an exemption.

• Windsurf directly competes with Microsoft’s GitHub Copilot and Visual Studio Code, which made Microsoft uncomfortable with allowing OpenAI to own it. So, they blocked the acquisition.

Why It’s Important:

• So, who really controls OpenAI? This situation highlights how Microsoft’s corporate self-interest is shaping what OpenAI can do and can’t do.

• OpenAI and Microsoft were once seen as perfectly aligned partners. Now, they’re at odds over money, control, and direction.

🩺 PULSE CHECK

AI RESEARCH

🔬AI Helps Doctors Decode Medical Images

Google Research recently introduced “MedGemma,” a family of advanced AI models designed to understand medical text and interpret clinical images.

Key Details:

• It was built using Gemma 3, a compact, efficient, and lightweight Small Language Model (SLM) that requires fewer computational resources while maintaining strong text reasoning capabilities.

• “MedGemma” is comprised of:

  1. MedGemma 27B Multimodal: Acts like a diagnostic helper (e.g., “Based on the ultrasound and accompanying clinical notes, the patient has an inflamed gallbladder.”)

  2. MedSigLIP: Acts like a medical trainee (e.g., “I’m learning to recognize patterns between clinical images and medical reports!”)

• For example, it can analyze radiographs (i.e., X-rays of bones, organs, and tissues) to identify subtle abnormalities such as fractures, infections, or tumors.

Why It’s Important:

• We’re witnessing the rapid adoption of GenAI in healthcare, with 80% of hospitals using GenAI to enhance patient care. The World Health Organization (WHO) estimates a shortfall of 10 million healthcare workers by 2030. As a result, demand for GenAI to augment clinical capacity and reduce medical workforce burdens has skyrocketed.

• The AI healthcare market reached $32.34 billion in 2024 and is projected to grow to $431.05 billion by 2032. Alphabet’s Google is uniquely positioned to dominate the AI healthcare market because of robust partnerships with leading medical institutions.

PROMPT ENGINEERING TIPS

⚙️Build Healthier Habits!

Building healthier habits isn’t about radical change; it’s about consistent effort, clearly defined goals, and holding yourself accountable.

This approach helps you stay on track, avoid burnout, and gradually build a lifestyle that supports your long-term well-being.

This simple prompt turns ChatGPT into your personal habit-building coach:

• Context: I want to improve my health by developing better daily habits,

• Clarity: but I struggle to stay consistent and often lose motivation.

• Guidance: Could you suggest a detailed, realistic, and actionable approach to help me achieve {Insert Health Goal}?

I want to improve my health by developing better daily habits, but I struggle to stay consistent and often lose motivation. Could you suggest a detailed, realistic, and actionable approach to help me achieve {Insert Health Goal}?

🛠TRENDING TOOLS

🚀Sim Studio builds and deploys AI Agents.

📖15minutes delivers comprehensive book summaries.

🧩Clueso turns rough screen recordings into stunning videos.

🪧Twistly creates slides in seconds with ChatGPT for PowerPoint.

📱AppStruct generates stunning apps with AI-powered zero coding.

🧰 Browse our Always Up-To-Date AI Toolkit.

🥪BRIEF BITES

Meta acquired “PlayAI,” a startup that leverages real-time voice intelligence to generate AI-powered voices as real as humans.

Luma AI launched “Dream Lab LA,” a creative hub where Hollywood veterans can access the knowledge, tools, and teams to thrive in the AI era.

Microsoft unveiled “Phi-4-mini-flash-reasoning,” which offers advanced reasoning capabilities while utilizing limited compute, memory, and latency.

Moonshot AI released “Kimi K2,” a massive open-source language model that achieves industry-leading performance across frontier knowledge, reasoning, and coding.

💰FUNDING FRONTLINES

• AIRMDR raised a $15.5M Seed Round for AI-Powered Virtual Analysts.

• RealSense secured a $50M Series A to accelerate AI-Based Vision for Robotics.

• MaintainX closed a $150M Series D to bring Unplanned Equipment Downtime to Zero.

💼WHO’S HIRING?

• Microsoft (Redmond, WA): Research Intern, Fall 2025

• NVIDIA (Hillsboro, OR): Systems Software Engineer, Entry-Level

• SailPoint (Austin, TX): Staff AI Engineer, Mid-Level

• Multiply Labs (San Francisco, CA): Staff Robotics Software Engineer, Senior-Level

📒FINAL NOTE

FEEDBACK

❤️TAIP Review of The Day

REFER & EARN

🎉Your Friends Learn, You Earn!

You currently have 0 referrals, only 1 away from receiving 🎓3 Simple Steps to Turn ChatGPT Into an Instant Expert.

Share your unique referral link: https://theaipulse.beehiiv.com/subscribe?ref=PLACEHOLDER