ChatGPT , Microsoft plans to invest $10 billion in OpenAI, the startup behind the popular artificial intelligence tool ChatGPT, according to a report on Tuesday by Semafor.

The report that the deal is part of a financing round with other investors stating that would value OpenAI at a whopping $29 billion.

It is not clear if the deal has been completed, but term papers sent to potential investors indicate the plan was to close the deal by the end of 2022.

Microsoft will receive 75% of OpenAI’s profits until it returns its investment, after which the company will acquire a 49% stake in OpenAI.

For several weeks, the tech world has been buzzing with chatter about ChatGPT, a tool designed to create text that looks like if it was written by a human.

The AI model has been used for everything from developing code to writing college essays.

A bet on ChatGPT could help Microsoft enhance its search efforts on the web, a market dominated by Google.

The company’s Bing browser only has a small share of the global search engine market, but it is hoped the deal will help the company off Google’s dominance by offering more advanced search capabilities.