Filing: Microsoft recorded $10B in revenue from OpenAI in Q1, nearly 11% of its total quarterly revenue, and has $7.2B in outstanding receivables from OpenAI (Rebecca Bellan/TechCrunch)

Microsoft reported generating $10 billion in revenue from commercial arrangements with OpenAI, including revenue-sharing payments, during its fiscal first quarter ended September 30. According to TechCrunch, this amount represents nearly 11% of Microsoft's total quarterly revenue of $92.3 billion. At the end of September, Microsoft reported $7.2 billion in outstanding receivables from OpenAI, an increase from $6 billion at the end of June.

The company's quarterly results also included $18.6 billion in free cash flow, which Channel News Asia and CNA - Business report exceeded analyst expectations by approximately $10 billion. This occurred as capital spending came in below the company's own forecast and its Azure cloud computing business surged 48 per cent.

TechCrunch noted that revenue from OpenAI totaled $24.1 billion for the full 2026 fiscal year. While the specific breakdown of revenue from Azure services versus revenue-sharing payments is unclear, TechCrunch previously reported in November 2025 that OpenAI reportedly shares 20% of its revenue with Microsoft.

Brief written by urgent.news from Techmeme, TechCrunch, Channel News Asia, CNA - Business — 4 reports on this story. Machine-written — may contain errors; check the original before relying on it.