European Union regulators are concerned that Microsoft may be covertly controlling OpenAI as its biggest investor.

  • Ephera@lemmy.ml
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    10 months ago

    As I understand, OpenAI’s structure is similar to Mozilla’s, so a non-profit steers a for-profit.

    But there’s the massive difference that OpenAI’s for-profit takes on outside investors. That is where Microsoft has invested.
    As such, control over the for-profit really isn’t in the hands of the non-profit, because obviously, they have to satisfy whoever gives them money.

    In particular, it also means that unlike in Mozilla’s structure, where the for-profit is ‘neutered’ in that it can’t pay out profits to anyone, this really isn’t the case for OpenAI.

    So, all in all, I really don’t feel like the non-profit part of OpenAI has any real relevance.