<div id="readability-page-1"><p>Tech giant Microsoft (MSFT) has spent more than $100 billion on its partnership with AI firm OpenAI, according to testimony from Microsoft deals executive Michael Wetter in federal court. That total includes Microsoft's original investments in OpenAI, along with the cost of building cloud infrastructure and hosting OpenAI's computing needs on Azure. Wetter said that many of those costs came before Microsoft generated revenue from the relationship, because the company had to build the infrastructure first before it could provide services to OpenAI.</p><h3>Claim 55% Off TipRanks</h3><ul><li>Unlock  hedge fund-level data  and  powerful investing tools  for smarter, sharper decisions  </li><li> Discover top-performing stock ideas and upgrade to a portfolio of market leaders with  Smart Investor Picks  </li></ul> <p>The testimony came as part of Elon Musk's lawsuit against OpenAI and Microsoft in federal court in Oakland, California. Musk has accused OpenAI co-founders Sam Altman and Greg Brockman of moving away from the company's original nonprofit mission and turning OpenAI into a business that benefits private interests. He also claims that Microsoft helped make that shift possible. Unsurprisingly, OpenAI, Altman, Brockman, and Microsoft have denied wrongdoing by arguing that Musk's claims are baseless and are meant to support his own AI company, xAI.</p> <p>Even with this legal fight, the partnership has become one of Microsoft's most important AI bets. Microsoft had invested about $13 billion in OpenAI by early 2023 and became its main cloud infrastructure provider. CEO Satya Nadella recently said that Microsoft targeted a $92 billion return from its early OpenAI investments, while OpenAI's valuation rose to $852 billion by the end of March. As part of OpenAI's restructuring last year, Microsoft received a 27% ownership stake, which was valued at about $135 billion as of October.</p> <h2><strong>What Is the Price Target for Microsoft?</strong></h2> <p>Turning to Wall Street, analysts have a Strong Buy consensus rating on MSFT stock based on 33 Buys and two Holds assigned in the past three months, as indicated by the graphic below. Furthermore, the average MSFT price target of $559.98 per share implies 38.3% upside potential.</p></div>

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<p>Microsoft has invested over $100 billion in its partnership with OpenAI, as revealed in court testimony amid Elon Musk's lawsuit against OpenAI and Microsoft. Musk alleges that OpenAI has strayed from its nonprofit roots, with Microsoft facilitating this shift. Despite the legal challenges, Microsoft's investment in OpenAI is seen as a key strategic move, with a targeted return of $92 billion and a significant ownership stake valued at $135 billion. Analysts maintain a Strong Buy rating for MSFT, with a price target suggesting a 38.3% upside potential.</p>

- Microsoft has invested over $100 billion in its partnership with OpenAI, including infrastructure costs to support its computing needs.  
- This testimony arose during Elon Musk's lawsuit against OpenAI and Microsoft, where Musk accuses them of straying from nonprofit goals.  
- Despite the legal issues, Microsoft's partnership with OpenAI remains a key focus, with a targeted $92 billion return from early investments, leading to a valuation of OpenAI at $852 billion.

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Elon Musk Lawsuit Puts Microsoft's (MSFT) $100B OpenAI Deal in Focus