The Windsurf acquisition and future of Copilot are at the center of a growing rift between the longtime AI collaborators.

The Wall Street Journal reports that OpenAI may run to the federal government and accuse Microsoft—its own sugar daddy—of anti-competitive practices. Were this to happen, OpenAI execs claim they would seek a federal regulatory review of the terms of the contract between them and Microsoft,

After the WSJ's report, now the Financial Times is reporting that Microsoft could exit talks with OpenAI if it doesn't agree to a larger stake.