> The above is just scratching the surface of the absurdity that is the OpenAI corporate structure. Microsoft despite having 49% ownership of the for-profit sub

> The above is just scratching the surface of the absurdity that is the OpenAI corporate structure. Microsoft despite having 49% ownership of the for-profit subsidiary gets 75% of their profit..........until their initial investment is recouped. I'm not sure why you think this part is absurd. This is basically a preferred return, and is very common in private equity and real estate investment.