Sam Altman and OpenAI did something unusual on Monday: They backed down.
The plan to spin out OpenAI, the $300 billion maker of ChatGPT, into an independent, for-profit company was scrapped.
To call the move an about-face is an understatement. OpenAI had been pursuing this corporate restructuring for more than a year, first quietly, and then—as details leaked—in the public eye.The public arena brought lots of critics, from regulators and AI safety advocates to competitors—all of whom objected to OpenAI detaching from its non-profit parent company. Elon Musk went so far as to file a lawsuit against the business revamp.
By abandoning its plan, OpenAI intended to throw all these monkeys off of its back. (The company cited consultations with the California and Delaware attorneys general for its decision, though Altman reportedly told reporters on a conference call that Musk’s lawsuit had nothing to do with the change. Sure). But the company may really have simply repl
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