Moonshot AI Touts Revenue-Sharing Deal with Microsoft, Amazon and Google

Moonshot AI is reportedly in talks with tech giants Microsoft (MSFT), Amazon (AMZN) and Google (GOOGL) to partner on its Kimi K3 AI model. The company is seeking a revenue-sharing deal that could see it take up to a 30% share of revenues from services related to the K3 model.

The negotiations are in line with a familiar pattern for frontier AI models, where developers seek distribution through the hyperscalers' cloud and consumer surfaces, often in exchange for revenue-sharing deals. In this case, the platforms would likely retain the larger economics, retaining more of the revenue while providing compute commitments or distribution.

The report notes that if all three companies are engaged simultaneously, it could create an 'auction dynamic' that strengthens Moonshot AI's pricing position and potentially leads to a single anchor partner. However, precedent suggests that model catalogue additions typically have a limited impact on equities unless tied to capital expenditures or exclusivity.