Wall Street reacts to Microsoft and OpenAI's new deal

(Reuters) – Microsoft and OpenAI reached a deal to allow the ChatGPT maker to restructure itself into a public benefit corporation, valuing OpenAI at $500 billion and giving it more freedom in its business operations. The deal removes a major constraint on raising capital for OpenAI that existed since 2019, when it signed a deal with Microsoft that gave the tech giant rights over much of OpenAI's work in exchange for costly cloud computing services. As its ChatGPT service exploded in popularity, those limitations became a notable source of tension between the two companies. Here are reactions from analysts and investors: RAIMO LENSCHOW, ANALYST, BARCLAYS, NEW YORK "We see Microsoft shares acting better again. The new OpenAI agreement creates a solid framework for years to come, and removes