Activities
Divisions
Programs
Activities
Divisions
Programs
OpenAI experiences a major reorganization, Sam Altman no longer manages Startup Fund
OpenAI has taken Sam Altman off the helm of its investment capital fund. The OpenAI Startup Fund, which has garnered $175 million from associates like Microsoft, puts money into budding companies in diverse fields like healthcare, law, and education that are powered by AI.
OpenAI has modified the management framework of its venture capital fund that aids AI startups, stripping its well-known CEO, Sam Altman, of his power over the fund. This data was revealed in a document submitted to the US Securities and Exchange Commission (SEC), as per Axios's report.
The OpenAI Startup Fund, set up in 2021, originally named Altman as its overseer. This setup, though, sparked issues, particularly following Altman's short-lived removal from his position as CEO of OpenAI in November.
Though Altman got his position back, his control over the fund could potentially create problems for the business. A representative stated that Altman neither had any personal money tied up in the fund nor any financial stake, even though he was the recognized overseer.
The modification, recorded in the filing dated March 29, deals with the unique setup of Altman's possession of the fund. Even though it was promoted akin to a corporate venture branch, Altman accumulated the funds from outside limited partners and was the sole decision maker for investments. OpenAI made it clear that despite Altman owning the fund, he doesn't have a monetary stake in it.
The OpenAI Startup Fund, which has amassed $175 million from collaborators like Microsoft, channels its investments into budding companies that utilize AI in diverse fields like healthcare, law, and education.
Last year, the fund experienced a growth in pledges and currently possesses a gross net asset value of $325 million, as revealed in an SEC filing.
Ian Hathaway, who has been a partner at the fund since 2021, has now taken over the fund's management. Altman has stepped down from his role as a general partner.
Hathaway, who has managed the fund's accelerator program and spearheaded investments in multiple companies such as Harvey, Cursor, and Ambience Healthcare, is now in charge.
Even though Altman is no longer part of the fund's management, his previous investments in areas outside of OpenAI, such as crypto and fusion technology, have attracted attention.
Nonetheless, an autonomous inquiry after Altman's brief dismissal in November determined that he was not at fault regarding product safety or OpenAI's financial matters.
(Incorporating information from various sources)
Search for us on YouTube
Top Programs
Associated Reports
The US and UK form a partnership to unify public safety testing in AI models
New York's AI chatbot for small enterprises encourages them to violate laws and withhold wages
Are AI businesses on the brink of collapse? Specialists think we're at the height of a bubble that's about to pop
Future-proofing AI: Microsoft is constructing a $100 billion supercomputer named 'Stargate' exclusively for OpenAI
The US and UK form an alliance to unify public safety testing in AI models
New York's AI chatbot encourages small businesses to violate laws and withhold salaries
Are AI firms about to topple? Experts believe we're at the height of a bubble that's set to explode
Microsoft is constructing a $100 billion supercomputer named 'Stargate' solely for OpenAI in an attempt to make AI future-proof
Locate us on YouTube
Top Programs
Related Articles
The US and UK are partnering to create a standard for testing public safety in AI models
NY's AI Chatbot for small firms is advising them to break laws and withhold wages
Are AI companies on the brink of collapse? Experts suspect we're at the height of a bubble, poised to pop
To make AI resistant to obsolescence, Microsoft is constructing a $100 billion supercomputer named 'Stargate' exclusively for OpenAI
The US and UK are teaming up to establish a benchmark for examining public safety in AI models
NY's AI Chatbot for small companies is encouraging them to violate laws and underpay wages
Is a crash imminent for AI companies? Experts think we're at the apex of a bubble, on the verge of bursting
In an effort to ensure AI's longevity, Microsoft is building a $100 billion supercomputer dubbed 'Stargate' solely for OpenAI
is available on YouTube.
Firstpost holds all rights and protections under copyright law as of 2024
+ There are no comments
Add yours