OpenAI Restructuring Plans

(Reuters) – Microsoft-backed OpenAI is planning to restructure its core business into a for-profit benefit corporation, which will operate independently of its non-profit board, Reuters reported on Wednesday. This move follows the departure of another senior executive.

The ChatGPT creator could be valued at $150 billion post-restructuring, with CEO Sam Altman set to receive equity for the first time. This development comes after Chief Technology Officer Mira Murati announced her departure, adding to a list of exits from the company.

Notable Departures and Additions

OpenAI originally had 11 founding members, including Altman and Elon Musk, who co-chaired the group. Currently, only Altman and Wojciech Zaremba remain.

Key Personnel Changes

• Feb. 13: Andrej Karpathy, AI researcher and founding member, leaves OpenAI to start Eureka Labs, an AI-integrated education platform.
• March 8: Sam Altman returns to OpenAI’s board with three new directors: Sue Desmond-Hellmann (former CEO, Bill and Melinda Gates Foundation), Nicole Seligman (former president, Sony Entertainment), and Fidji Simo (CEO, Instacart).
• May 14: Ilya Sutskever, co-founder and chief scientist, exits OpenAI. He later co-founds Safe Superintelligence (SSI), securing $1 billion to develop safe AI systems.
• June 10: Sarah Friar, ex-CEO of Nextdoor, is hired as the first chief financial officer. Kevin Weil is also appointed as chief product officer.
• Aug. 5: John Schulman, co-founder, leaves OpenAI for competitor Anthropic. Company president and co-founder Greg Brockman takes a sabbatical until year-end.
• Aug. 8: Zico Kolter, a Carnegie Mellon University professor, joins the board.
• Sept. 25: Mira Murati, OpenAI’s Chief Technology Officer, departs after 6.5 years, having briefly served as CEO during Altman’s firing.