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0 pointsthrowup2381y ago0 comments

OpenAI Global LLC is the $100b asset. It’s not being removed, the nonprofit will still own all the shares it owns now until it decides to sell.

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sangnoir1y ago

The shares will be diluted - the LLC used to be 100% owned by the non-profit; and now there's no bottom.

Aeolun1y ago

Normally shareholders aren’t ok with that.

b800h1y ago

I was under the impression that in UK law at least, (and obviously not in this case) the trustees of a non-profit would be bound to work in the best interests of that non-profit. And so allowing an asset like this to somehow slip out of their control would be the sort of negligence that would land you in very hot water. I'd be interested to know how this isn't the case here.

upwardbound1y ago

I think it is the case here, and I hope Elon Musk persists in his lawsuits about this. As a large donor to the nonprofit in its early days he’s one of the people with the strongest standing to sue / strongest claim for damages.

Obviously Elon is mostly doing this suit as a way to benefit Grok AI but honestly I don’t mind that; competitors are supposed to keep each other in check, and this is a good and proper way for companies to provide checks & balances to each others’ power and it’s one reason why monopolies are bad is the absence of competitor-enforced accountability.

Lawsuit: https://www.reuters.com/technology/elon-musk-revives-lawsuit...

    https://www.reuters.com/technology/elon-musk-revives-lawsuit-against-sam-altman-openai-nyt-reports-2024-08-05/

stale20021y ago

> somehow slip out of their control would be the sort of negligence that would land you in very hot water.

> how this isn't the case here.

Its not the case because they are doing the opposite of what you are suggesting. They are increasing the value of the asset that they own.

Sure, the asset itself is being diluted, but the individual parts that it owns are more valuable.

It is perfectly reasonable for a non profit to prefer to own 30% of a 100 billion dollar asset, lets say, compared to 100% of a 10 billion dollar asset.

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