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OpenAI exists both as a nonprofit and, for several years now, as a for-profit company [1] that has taken billions of dollars in investment. It needs to make bil
by CrazyStat 3y ago
OpenAI exists both as a nonprofit and, for several years now, as a for-profit company [1] that has taken billions of dollars in investment. It needs to make billions of dollars to return to investors just as much as any other for-profit company does.
[1] https://openai.com/blog/openai-lp https://openai.com/blog/openai-lp
- crop_rotation 3y agoThe non profit is the majority owner of the for profit, and there is no investor pressure here to make billions.
- j45 3y agoCould that not change as the board changes?
- jprete 3y agoI think the board is required to be a majority non-equity-holders precisely because an equity-holding board will not keep to their non-profit mission.
- j45 3y agoSince it's a private non-profit corp it might be whatever they want the rules to be. Arms-length neutrality on a board in silicon valley might still work like the rest as other comments have stated. Maybe someone can shed some light on it
- jprete 3y agoI’m presuming it was put into place as part of creating the capped-for-profit entity, to make sure the for-profit couldn’t itself permanently misalign the non-profit’s board.