Updates on OpenAI (c)(3) Conversion to Public Benefit Status

Musk sought majority for-profit control of OpenAI to fund Mars Colony

A group of “experts in law, corporate governance, artificial intelligence, nonprofit organizations” and some former OpenAI employees has submitted an extremely comprehensive and well-crafted open letter to the California and Delaware Attorneys General. The 29-page letter reads like a sophisticated brief. The group asks the AGs to oppose OpenAI’s sale of its Microsoft joint venture to a public benefit corporation. Meanwhile, Sam Altman and OpenAI submitted a counterclaim¹ in the Musk v. Altman with some interesting assertions and a bit more explanation for why the “capped profit” entity – allowing for 10,000% ROI to private investors – is nevertheless insufficient to the accomplishment of the charitable purpose. Finally, the California AG recently declined² to grant “relator” status to Elon Musk. Doing so, would have allowed to sue Sam Altman and Open AI in the name of the State. In effect, it would have deputized Musk to act on behalf of California.