OpenAI CEO Says Company Could Become a For-Profit Corporation Like xAI, Anthropic (reuters.com) 23
Wednesday The Information reported that OpenAI had doubled its annualized revenue — a measure of the previous month's revenue multiplied by 12 — in the last six months. It's now $3.4 billion (which is up from around $1 billion last summer, notes Engadget).
And now an anonymous reader shares a new report from The Information: OpenAI CEO Sam Altman recently told some shareholders that the artificial intelligence developer is considering changing its governance structure to a for-profit business that OpenAI's nonprofit board doesn't control, according to a person who heard the comments. One scenario Altman said the board is considering is a for-profit benefit corporation, which rivals such as Anthropic and xAI are using, this person said. Such a change could open the door to an eventual initial public offering of OpenAI, which currently sports a private valuation of $86 billion, and may give Altman an opportunity to take a stake in the fast-growing company, a move some investors have been pushing.
More from Reuters: The restructuring discussions are fluid and Altman and his fellow directors could ultimately decide to take a different approach, The Information added. In response to Reuters' queries about the report, OpenAI said: "We remain focused on building AI that benefits everyone. The nonprofit is core to our mission and will continue to exist."
Is that a classic non-denial denial?
Note that the nonprofit's "continuing to exist" does not in any way preclude OpenAI from becoming a for-profit business — with a spin-off nonprofit, continuing to exist...
And now an anonymous reader shares a new report from The Information: OpenAI CEO Sam Altman recently told some shareholders that the artificial intelligence developer is considering changing its governance structure to a for-profit business that OpenAI's nonprofit board doesn't control, according to a person who heard the comments. One scenario Altman said the board is considering is a for-profit benefit corporation, which rivals such as Anthropic and xAI are using, this person said. Such a change could open the door to an eventual initial public offering of OpenAI, which currently sports a private valuation of $86 billion, and may give Altman an opportunity to take a stake in the fast-growing company, a move some investors have been pushing.
More from Reuters: The restructuring discussions are fluid and Altman and his fellow directors could ultimately decide to take a different approach, The Information added. In response to Reuters' queries about the report, OpenAI said: "We remain focused on building AI that benefits everyone. The nonprofit is core to our mission and will continue to exist."
Is that a classic non-denial denial?
Note that the nonprofit's "continuing to exist" does not in any way preclude OpenAI from becoming a for-profit business — with a spin-off nonprofit, continuing to exist...