- OpenAI confirmed it is working to become a for-profit company with a new structure.
- Its current for-profit arm has been governed by a nonprofit board.
- OpenAI said its existing for-profit arm will become a public benefit corporation with ordinary shares of stock.
OpenAI has detailed its plans for a new corporate structure that will separate its business from being controlled by its nonprofit board.
In a blog post shared by the company on social media on Friday, the company said it would change its for-profit arm into a public benefit corporation registered in Delaware “with ordinary shares of stock and the OpenAI mission as its public benefit interest.”
This structure aims to generate profit while also benefiting the public interest.
The nonprofit arm would take shares in the public benefit corporation, it added.
OpenAI said it was making the move “in order to best support the mission of ensuring artificial general intelligence benefits all of humanity.”
“As we enter 2025, we will have to become more than a lab and a startup — we have to become an enduring company,” it added.
This is a developing story…
