Janice R. Andrews
A story from Fortune says that OpenAI will be moving away from its complicated non-profit framework next year. CEO Sam Altman told employees at a weekly meeting that the business will become more like a normal for-profit business, but it will still have a non-profit section. Altman didn’t say much about the changes that are coming.
When OpenAI was first started in 2015 as a non-profit, it relied on gifts and raised $130.5 million over a number of years. But because of the need for more money to pay for skill and computing power, a for-profit company was made. In its current form, the non-profit arm runs the for-profit section, which takes care of investments like Microsoft’s. OpenAI limits the gains that investors can make and gives any extra money to a non-profit.
OpenAI’s business plan is changing to meet new needs as it makes more money thanks to the popularity of the subscription-based ChatGPT. Altman said that the main goal of the non-profit will not change.
Note of disclaimer: This piece is based on articles from Fortune and other places. Official confirmation from OpenAI has not been given about the specifics of the changes to the company’s structure.
