RoomsLibraryToursPeopleCompareSourcesAbout
Gemini
Exit|1 of 4 in OpenAI Non-Profit to For-Profit
mission-splitai·2015

Tech belongs to the world vs startup compensation

The Public RegisterDecember 11, 2015
OpenAI Founding Press Releasefounding announcement, OpenAI Announcement Post
OpenAI is a non-profit artificial intelligence research company. Our goal is to advance digital intelligence in the way that is most likely to benefit humanity as a whole, unconstrained by a need to generate financial return.
The Private ArtifactJune 2015
Sam Altman to Elon Muskprivate email exchange, Founding correspondence released in Musk v. Altman
We need to structure a startup-like equity compensation plan or researchers will simply take the $2M offers at DeepMind. The non-profit structure is great for optics and mission, but we need equity upside to retain talent.
Exhibit: Musk_Altman_2015_Founding_Email

The Split:The founding charter promised a pure non-profit unconstrained by financial return. In founding emails, Altman was already planning startup equity upside to compete with Google, describing the non-profit model as great for 'optics'.

The Tell (How to spot this next time):

When an ambitious tech venture announces a non-profit structure 'for humanity', check whether the term sheet contains convertible equity promises.

court pipeUnsealed in Elon Musk v. Sam Altman (San Francisco Superior Court).