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OpenAI is a nonprofit which changes most motivations for the board. They are ultimately tasked with preserving the mission rather than profit which cases Altma
by Retric 3y ago
OpenAI is a nonprofit which changes most motivations for the board. They are ultimately tasked with preserving the mission rather than profit which cases Altman in a very poor light here.
There is a for profit subsidiary which Microsoft invested 13 billion in, but that can't return money to board members only Altman and it's investors.
- staplers 3y agoOpenAI is a nonprofit Do people really still believe this?
- Retric 3y agoThe US government does, which is what matters.
- BehindBlueEyes 3y agoI am surprised that using non profit status to build a business and transferring/converting to for profit down the line isn’t considered a form of tax evasion.
- Retric 3y agoIt's all about what happens to the money. Many non profits generate revenue from operating a business rather than gift giving. Sesame workshop's deal with HBO and various merchandising deals with Elmo etc on a day to day basis looks a lot like a business, they just reinvest that money into content rather than handing money to investors. Ultimately, most non profits would prefer a giant endowment which can provide them a low risk income stream. Which is why breaking off such ventures is surprisingly common, most of them don't revive 16 billion in outside funding and such media attention. But, again the important bit is what happens to the money / resources. Buy or sell a building, business, or other asset at fair market value and everything is fine.
- bombcar 3y agoSo is IKEA.
- hef19898 3y agoWell, the entity behind IKEA the brand. Same for Bosch. Difference is, both IKEA and Bosch don't raise questions about their corporate governance. Which OpenAI pretty much does.
- ori_b 3y agoIt hasn't been a nonprofit in years. https://openai.com/blog/openai-lp https://openai.com/blog/openai-lp
- Retric 3y agoYou can't go from nonprofit to for profit. They as I said created a subsidiary.