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If you've been following the development of artificial intelligence company OpenAI, you know that it started as a non-profit, but with the financial need to stay afloat, OpenAI CEO Sam Altman has said that there is a possibility that it will convert to a corporate entity.
And yes, OpenAI is now a multi-billion dollar corporation, but the company's board of directors has announced that their non-profit division will still retain a majority stake in the company.
To do this, OpenAI will convert the business division of the company into a Public Benefit Corporation or PBC, which is a corporate corporation focused on making a profit and also on public benefit, ensuring that OpenAI's technology is used for the benefit of its users.
In a blog post, OpenAI's board of directors said that they have been in discussions with a number of stakeholders from state, federal, and civic bodies in the United States.
The majority stake in the non-profit arm of OpenAI is expected to ensure that the AI technology developed by the company will benefit the public, and not be misused by anyone, and to ensure that the company is not solely profit-oriented.
This decision is seen as a positive one, because when Sam Altman announced his intention to make OpenAI a corporate company, the decision was met with much negative opinion. In fact, Elon Musk, an early investor in OpenAI, has taken action to sue OpenAI for changing from a non-profit organization to a corporate company.