OpenAI has completed a significant restructuring, dividing the company into two distinct entities: a non-profit called the OpenAI Foundation and a for-profit called OpenAI Group PBC.
Microsoft, which has placed a strong emphasis on integrating AI into its products and services, currently owns 27 percent of OpenAI’s for-profit business. This stake highlights the deepening partnership between the two companies.
In a recent blog post announcing the corporate restructuring, OpenAI shared that its non-profit arm is committing $25 billion toward advancements in health and efforts to minimize the risks associated with AI technology. The non-profit also holds approximately $130 billion in equity in OpenAI’s for-profit business.
“The more OpenAI succeeds as a company, the more the non-profit’s equity stake will be worth, which the non-profit will use to fund its philanthropic work,” wrote Bret Taylor, Chair of the OpenAI Board of Directors.
In a separate update, OpenAI detailed its ongoing relationship with Microsoft, which dates back to 2019. Microsoft supported the creation of OpenAI’s for-profit arm, and its $135 billion stake represents 27 percent ownership of the company’s shares.
This restructuring positions OpenAI to advance its mission while balancing innovation, commercial growth, and philanthropic goals in the AI space.
https://www.shacknews.com/article/146547/open-ai-corporate-restructure-non-profit