OpenAI, the company behind ChatGPT, is rethinking its plans to become a for-profit company.
The company said its nonprofit arm will retain control of OpenAI, while the for-profit division will be transformed into a social enterprise.
In this way, the company is responding to criticism from billionaire co-founder Elon Musk. He has been waging a legal battle against OpenAI and two other founders, Sam Altman and Greg Brockman, for some time.
Musk believes that the company has broken its promise by making plans as a non-profit organisation to become a profitable company. A judge in the American state of California recently ruled that Musk can continue his fraud claims.
Constructive dialogue
OpenAI said it had adjusted its plans “after hearing from community leaders and engaging in constructive dialogue with the Delaware and California attorney generals’ offices.”