OpenAI May Restructure Its Nonprofit Structure Next Year

Article is form followin
September 15, 2024
This article is translated by ChatGPT Show original
Back Icon Image

On September 15th, OpenAI's potential to overhaul its complex corporate structure is increasing. Earlier this week, reports emerged suggesting the company was in talks to raise $65 billion at a pre-money valuation of $150 billion.

Now, Reuters reports that this deal hinges on OpenAI's ability to restructure and eliminate investor profit caps. Meanwhile, Fortune reported that co-founder and CEO Sam Altman told employees in an all-hands meeting that OpenAI's structure is likely to change next year, moving it closer to a traditional for-profit business.

OpenAI's current structure, with its for-profit arm controlled by a non-profit organization, seems to have disappointed investors.

Back Icon Image
Source
1. Disclaimer: The views expressed are solely those of the author and do not reflect the stance of Gen3. They are not intended as investment advice.
2. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as investment or other advice.