- Microsoft is accused of using its exclusive Azure cloud agreement to limit OpenAI‘s access to computing resources and keep ChatGPT prices high.
- A class-action lawsuit filed in San Francisco seeks damages for alleged overcharges from November 2022 through February 2025.
- Plaintiffs allege token prices dropped 80% after OpenAI started buying compute from Google Cloud in June 2025.
- The lawsuit claims Microsoft profited by restricting supply while earning revenue from both compute sales and OpenAI’s products.
- Plaintiffs ask for monetary damages, an end to exclusive cloud deals with OpenAI, and disclosure of internal company communications.
A group of ChatGPT Plus users have filed a class-action lawsuit in San Francisco federal court, alleging that Microsoft used a 2019 exclusive agreement with OpenAI to limit access to cloud computing resources, resulting in higher prices for users. The suit claims Microsoft took these actions while developing its own competing Artificial Intelligence products.
According to the complaint, prices for ChatGPT token usage remained as much as 100 to 200 times higher than competitors during a pricing war in February 2025. The lawsuit alleges that after OpenAI began buying computing power from Google Cloud in June 2025, token prices dropped by 80% within weeks. Eleven ChatGPT Plus subscribers are seeking compensation for overcharges and what they describe as degraded service during the period from November 2022 to February 2025.
The lawsuit characterizes Microsoft’s actions as reviving tactics from its 1990s antitrust cases. The company’s exclusive Azure deal gave it control over OpenAI’s supply chain for cloud computing, which is necessary to run generative AI products. Plaintiffs define the market as subscription-based consumer AI services like ChatGPT Plus, Claude Pro, Gemini Advanced, and DeepSeek Chat. The complaint states that Microsoft holds a 49% stake in OpenAI’s for-profit business and receives 20% of its paid product revenue, which plaintiffs claim creates a dual profit stream for Microsoft.
Legal partner Navodaya Singh Rajpurohit told Decrypt that an exclusive contract could serve as primary proof of control if produced. The lawsuit further claims that Microsoft still keeps the ability to restrict OpenAI’s computing purchases, which plaintiffs describe as ongoing risk to competition.
Plaintiffs are asking for financial damages, a permanent ban on exclusive compute arrangements between Microsoft and OpenAI, and access to internal documents on supply, pricing, and integration. The complaint arrives as SoftBank is negotiating to invest up to $25 billion in OpenAI, surpassing Microsoft’s $13 billion stake, and as Microsoft is ending its exclusive cloud provider arrangement under the Stargate project.
Neither Microsoft nor OpenAI responded to Decrypt’s requests for comment. The full lawsuit is available here.
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