September 11, 2025:
OpenAI Transitions for-Profit Arm, Gains Microsofts Support - OpenAI and Microsoft have a non-binding agreement to convert OpenAI's for-profit arm into a public benefit corporation (PBC) to raise capital and consider going public. OpenAI's nonprofit retains control and gains a significant stake. This shift follows lengthy negotiations aimed at lessening reliance on Microsoft's cloud services.
The move has sparked controversies, including Elon Musk's lawsuit and objections from nonprofits questioning mission alignment. Regulatory approval is necessary before finalization, indicating a strategic change in OpenAI's operations.
