Official OpenAI press release or SEC filing

OpenAI CEO Sam Altman Considers $86 Billion Shift to For-Profit Benefit Corporation

Jun 15, 2024, 01:36 AM

OpenAI CEO Sam Altman has privately informed shareholders and investors that the company is considering transitioning to a for-profit benefit corporation. This potential shift would align OpenAI with rivals Anthropic and xAI, and would mean that the company would no longer be controlled by its current nonprofit board. The move could also pave the way for an initial public offering (IPO) and allow Altman to take a stake in the company, which is currently valued at $86 billion. The information was recently reported by The Information and has sparked significant discussion among stakeholders. Some speculate that OpenAI's special review was telegraphing this possible change, amid accusations from ex-board members.