Tech giant OpenAI appears to be on the move to transform into a ‘for-profit’ company amid serious discussions with top investor and software giant Microsoft.
It’s a move that many saw coming for a long time and also one that tech billionaire Elon Musk wished to block from day one. But from what can be seen in new reports published by The Information, it’s finally happening.
Both tech giants have been conducting discussions since the start of October about restructuring the entire AI firm. It’s no surprise that Microsoft is in on the deal as it’s already invested a whopping $13B in the company.
One source familiar with the whole matter was quick to delineate more about how most discussions revolved around four leading topics. This entails details about the equity stake that Microsoft holds if the software giant will continue to be the sole cloud provider, the timeframe Microsoft can maintain rights over OpenAI’s intellectual goods, and if the company will carry on and take close to 20% of the overall revenue.
While both companies are staying rather hush on the matter, it’s definitely not any major secret at this moment in time. The tech giant made it clear how it hopes to replan the entire ‘for-profit’ company that will not be controlled by the nonprofit board.
When asked to detail more about the report, the representative for OpenAI said the company is just focusing more on bringing benefits to all. They hope to work alongside the board to make sure that they’re in the best position to succeed with that mission. Remember, nonprofit is still the core of the company’s main objectives and it hopes to continue with that.
Meanwhile, the entire process of restructuring does not come too easy for the tech giant. That’s all thanks to Elon Musk and his legal woes that keep holding this company back.
The tech billionaire and Tesla CEO wants to prevent OpenAI from converting into a for-profit organization. His lawyers argued that it needs to be barred from getting benefits of a wrongful deal which includes very sensitive data through its partnership with Microsoft.
On the other hand, the company is also making room for more sales personnel in what it feels is the new paradigm shift inside the corporate AI sector. Remember, the is continuing to sign new documents with different industries like health, law, manufacturing, and more.
OpenAI wants the world to know that AI is the future and that’s why a shift is necessary. They are achieving that by unlocking some wonderfully unique and new working ways.
Image: DIW
Read next:
• Blockchain + AI: Decentralized Machine Learning Platforms Changing the Game
• Who’s Funding Open Source? The $1.7B Question Finally Answered
• How Can AI Help You Create Stunning Digital Designs?
It’s a move that many saw coming for a long time and also one that tech billionaire Elon Musk wished to block from day one. But from what can be seen in new reports published by The Information, it’s finally happening.
Both tech giants have been conducting discussions since the start of October about restructuring the entire AI firm. It’s no surprise that Microsoft is in on the deal as it’s already invested a whopping $13B in the company.
One source familiar with the whole matter was quick to delineate more about how most discussions revolved around four leading topics. This entails details about the equity stake that Microsoft holds if the software giant will continue to be the sole cloud provider, the timeframe Microsoft can maintain rights over OpenAI’s intellectual goods, and if the company will carry on and take close to 20% of the overall revenue.
While both companies are staying rather hush on the matter, it’s definitely not any major secret at this moment in time. The tech giant made it clear how it hopes to replan the entire ‘for-profit’ company that will not be controlled by the nonprofit board.
When asked to detail more about the report, the representative for OpenAI said the company is just focusing more on bringing benefits to all. They hope to work alongside the board to make sure that they’re in the best position to succeed with that mission. Remember, nonprofit is still the core of the company’s main objectives and it hopes to continue with that.
Meanwhile, the entire process of restructuring does not come too easy for the tech giant. That’s all thanks to Elon Musk and his legal woes that keep holding this company back.
The tech billionaire and Tesla CEO wants to prevent OpenAI from converting into a for-profit organization. His lawyers argued that it needs to be barred from getting benefits of a wrongful deal which includes very sensitive data through its partnership with Microsoft.
On the other hand, the company is also making room for more sales personnel in what it feels is the new paradigm shift inside the corporate AI sector. Remember, the is continuing to sign new documents with different industries like health, law, manufacturing, and more.
OpenAI wants the world to know that AI is the future and that’s why a shift is necessary. They are achieving that by unlocking some wonderfully unique and new working ways.
Image: DIW
Read next:
• Blockchain + AI: Decentralized Machine Learning Platforms Changing the Game
• Who’s Funding Open Source? The $1.7B Question Finally Answered
• How Can AI Help You Create Stunning Digital Designs?
