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The Charter was designed to capture our values, as we thought about how we'd create a structure that allows us to raise more money while staying true to our mis
by gdb 8y ago
The Charter was designed to capture our values, as we thought about how we'd create a structure that allows us to raise more money while staying true to our mission.
Some companies to compare with:
- Stripe Series A was $100M post-money (https://www.crunchbase.com/funding_round/stripe-series-a--a3d74035); https://www.crunchbase.com/funding_round/stripe-series-a--a3... Series E was $22.5B post-money (https://www.crunchbase.com/funding_round/stripe-series-e--d033103f https://www.crunchbase.com/funding_round/stripe-series-e--d0...) — over a 200x return to date
- Slack Series C was $220M (https://blogs.wsj.com/venturecapital/2014/04/25/slack-raises-42-8m-to-kill-inbox-clutter-app-overload-at-work/ https://blogs.wsj.com/venturecapital/2014/04/25/slack-raises...) and now is filing to go public at $10B (https://www.ccn.com/slack-ipo-heres-how-much-this-silicon-valley-unicorn-worth-public https://www.ccn.com/slack-ipo-heres-how-much-this-silicon-va...) — over 45x return to date
> you don't want to "unduly concentrate power"? How will this work?
Any value in excess of the cap created by OpenAI LP is owned by the Nonprofit, whose mission is to benefit all of humanity. This could be in the form of services (see https://blog.gregbrockman.com/the-openai-mission#the-impact-of-agi_1 https://blog.gregbrockman.com/the-openai-mission#the-impact-... for an example) or even making direct distributions to the world.
- throwawaymath 8y agoFair enough, that seems like a good answer. There will still probably be concerns about whether or not the cap can be changed in the future, however. But I don't know enough about nonprofit laws to comment on that.
- ericjang 8y agoIf I understand correctly from past announcements, OpenAI has roughly $1B committed in funding? So up until OpenAI attains a $100B valuation, its incentives are indistinguishable from a for-profit entity?
- jackpirate 8y agoBecause of dilution resulting from future investments, my understanding is that the valuation could be significantly higher before that threshold gets crossed.
- ivalm 8y agoYou've already change the structure once, what is there to prevent the 100x cap becoming 1000x cap, or any other arbitrary number?