OpenAI CEO says company could become for-profit corporation, The Information reports

[June 15, 2024]  (Reuters) -OpenAI CEO Sam Altman told some shareholders that the company is considering changing its governance structure to a for-profit business that the firm's nonprofit board doesn't control, The Information reported on Friday.

Sam Altman, CEO of OpenAI, attends the 54th annual meeting of the World Economic Forum, in Davos, Switzerland, January 18, 2024. REUTERS/Denis Balibouse/File Photo

One scenario Altman said the board is considering is a for-profit benefit corporation, which rivals such as Anthropic and xAI are using, the report said, citing a person who heard the comments.

The restructuring discussions are fluid and Altman and his fellow directors could ultimately decide to take a different approach, The Information added.

In response to Reuters' queries about the report, OpenAI said: "We remain focused on building AI that benefits everyone. The nonprofit is core to our mission and will continue to exist."

(Reporting by Shivani Tanna and Disha Mishra in Bengaluru; Editing by Sandra Maler and Sam Holmes)

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