OpenAI in Regulator Talks to Become For-Profit Company (1)

Nov. 5, 2024, 4:31 AM UTC

OpenAI is advancing in its bid to transform the non-profit structure of the $157 billion company into a for-profit business by having preliminary discussions with regulators.

The company is in early talks with the California attorney general’s office over the process to change its corporate structure, according to two people familiar with the matter. The process is likely to involve regulators scrutinizing how OpenAI values a portfolio of highly lucrative intellectual property, such as its ChatGPT app.

The attorney general in Delaware also has been in communication about the nonprofit to for-profit shift, as detailed in a letter to OpenAI. ...

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