Sam Altman told OpenAI employees during their weekly meeting that the company will change its rather complex non-profit corporate structure next year. Luck. The CEO said OpenAI will move away from being run by a non-profit organization and into a more traditional for-profit organization. He did not delve into the details of how the company will achieve that goal or exactly what OpenAI’s corporate structure will look like. Only the spokesperson said Luck it is “focused on creating AI that benefits everyone” and its non-profit purpose is “at the core” [its] has a mission and will continue to exist.
OpenAI started in 2015 as a non-profit organization relying on donor money. On one page explains the structureit has raised a total of $130.5 million in donations over the years, he said, “making it clear that donations alone are not measured by the cost of the computing power and talent required to push them.” [its] basic research breakthrough.” The then-purely non-profit organization a for profit subsidiary to solve this problem. as Luck explains that OpenAI’s nonprofit now controls its for-profit arm, which in turn controls a holding company that receives investment from companies like Microsoft.
Under this structure, there is a limit to the profits that can be allocated to investors, including Microsoft. Anything OpenAI makes in excess will go to its non-profit arm. According to a report, the company’s revenues are growing rapidly Information published in June. OpenAI reports doubled Annual revenue in the first half of the year thanks to the subscription version of ChatGPT.
The company’s complex structure also allowed for OpenAI’s non-profit board He overthrows Altman In 2023, because they are “already [have] Confidence in his ability to continue leading OpenAI.” But five days later, the board was disbanded and replaced, while Altman was restored to the position of general director.
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