Latest news with #publicbenefitcorporation
Bloomberg
13-05-2025
- Business
- Bloomberg
SoftBank Backs OpenAI Reform Plan to Keep Nonprofit in Control
SoftBank Group Corp. supports OpenAI's latest plan to turn its for-profit division into a public benefit corporation, even if the overall business remains under the control of its nonprofit. 'The part that we care about is the for-profit business,' SoftBank Chief Financial Officer Yoshimitsu Goto told an earnings conference Tuesday. 'I don't see the overall direction as bad for us.'
New York Times
06-05-2025
- Business
- New York Times
The Stakes for OpenAI's Plan B
OpenAI backtracks OpenAI's decision to scale back its ambitious corporate reorganization has drawn lots of scrutiny, including what the plan means for artificial intelligence safety, potential profits for investors and an ongoing fight with Elon Musk. What's emerging is that in some ways, how OpenAI operates isn't changing much. But there are still plenty of questions about the future of the consequential A.I. developer. The latest: OpenAI announced a smaller-scale change to its famously complex structure. Remember that it was founded as a nonprofit. But in 2019, it set up a for-profit subsidiary to start raising money from investors to finance its eye-wateringly expensive A.I. research. Then last year, the company moved to turn itself into a for-profit entity in which the nonprofit held a stake but didn't have control. Now, OpenAI plans to turn its for-profit subsidiary into a public benefit corporation, which would still be controlled by the nonprofit, though the size of its stake remains undetermined. (Got all that?) Sam Altman, its C.E.O., said yon Monday that the revised plan still gives his start-up 'a more understandable structure to do the things that a company like us has to do.'
