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Reading: Ex-OpenAI workers signal open letter to California AG: For-profit pivot poses ‘palpable threat’ to nonprofit mission
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The Texas Reporter > Blog > Business > Ex-OpenAI workers signal open letter to California AG: For-profit pivot poses ‘palpable threat’ to nonprofit mission
Business

Ex-OpenAI workers signal open letter to California AG: For-profit pivot poses ‘palpable threat’ to nonprofit mission

Editorial Board
Editorial Board Published April 24, 2025
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Ex-OpenAI workers signal open letter to California AG: For-profit pivot poses ‘palpable threat’ to nonprofit mission
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Ex-OpenAI workers signal open letter to California AG: For-profit pivot poses ‘palpable threat’ to nonprofit mission

Greater than 30 high specialists—together with 9 former OpenAI workers—have urged the attorneys common of California and Delaware to intervene in OpenAI’s proposed restructuring, which might permit the corporate to purchase itself out from beneath its nonprofit’s management. In an open letter, they warn that the transfer would remove key governance safeguards and endanger OpenAI’s founding mission to make sure that synthetic common intelligence (AGI) “benefits all of humanity.”

The group, which additionally consists of AI “godfather” Geoffrey Hinton, Hugging Face researcher and chief ethics scientist Margaret Mitchell, and Stuart Russell, pc science professor at UC Berkeley, revealed the open letter right this moment on an internet site known as Not For Non-public Achieve and in addition shared the letter with OpenAI’s nonprofit board of administrators. 

The letter comes lower than two weeks after twelve former OpenAI workers requested a federal choose for permission to weigh in on Elon Musk’s lawsuit in opposition to Sam Altman and the corporate. Harvard regulation professor Lawrence Lessig, who additionally signed the brand new open letter, filed the movement on behalf of the ex-employees, whose detailed amicus temporary accuses OpenAI of abandoning its nonprofit roots and betraying the mission that initially attracted them to the group. 

The letter’s signatories embrace a number of ex-OpenAI workers who’re additionally a part of the amicus temporary—Steven Adler, Jacob Hilton, Daniel Kokotajlo, Gretchen Krueger and Girish Sastry—in addition to former OpenAI researchers Scott Aaronson, Ryan Lowe, Nisan Stiennon, and Anish Tondwalkar. 

OpenAI is at the moment navigating rising scrutiny round its efforts to flee management of its nonprofit. It should full the restructuring by the tip of the 12 months to safe the total $40 billion funding spherical led by SoftBank, which was accomplished in March. Notably, it requires approval from California Legal professional Basic Rob Bonta to execute its plan. Bonta oversees charitable organizations within the state to make sure that their belongings are utilized in accordance with their unique charitable functions.​ It additionally requires approval from Delaware Legal professional Basic, as a result of OpenAI is included as a nonprofit in Delaware (OpenAI, Inc.), which owns and governs the for-profit arm (OpenAI World, LLC). 

Different teams have commented publicly about OpenAI’s restructuring: Two weeks in the past, a coalition of California nonprofits, foundations and labor teams urged California lawyer common Rob Bonta to halt OpenAI’s efforts—with a concentrate on making certain the nonprofit receives honest market worth for the belongings it provides up. The group bringing the brand new open letter, nevertheless, focuses on the basic problem of whether or not the restructuring, which might hand over management of monitoring the event of synthetic common intelligence, or AGI, would profit the nonprofit’s unique mission

Within the open letter, the signatories argue that eradicating nonprofit management over how AGI is developed and ruled would “violate the special fiduciary duty owed to the nonprofit’s beneficiaries” and “pose a palpable and identifiable threat” to OpenAI’s charitable function—calling it “contrary to the Certificate [of Incorporation].”

They warn that the proposed restructuring would strip California and Delaware’s attorneys common of their present oversight energy, undermining their means to “protect OpenAI’s beneficiaries: the public.”

To safeguard the general public curiosity, the letter urges regulators to halt the restructuring, demand transparency, and make sure the nonprofit retains management—reminding them that OpenAI’s management itself emphasised the significance of these governance safeguards in 2023 to “ensure it remains focused on [its] long-term mission.”

In response to a request for remark, an OpenAI spokesperson shared the next assertion: “Our Board has been very clear: our nonprofit will be strengthened and any changes to our existing structure would be in service of ensuring the broader public can benefit from AI. Our for-profit will be a public benefit corporation, similar to several other AI labs like Anthropic – where some of these former employees now work – and xAI, except that they do not support a nonprofit. This structure will continue to ensure that as the for-profit succeeds and grows, so too does the nonprofit, enabling us to achieve the mission.” After publication, the group behind the open letter famous that not one of the letter’s ex-OpenAI signatories work at Anthropic.

The OpenAI spokesperson additionally referred to the corporate’s recently-launched nonprofit fee that can inform the its future philanthropic efforts, “maximizing impression for individuals and mission-driven organizations addressing essential international challenges—from well being and training to public service and scientific discovery. We stay up for constructing on our work with their counsel.”

This story was initially featured on Fortune.com

TAGGED:CaliforniaemployeesExOpenAIforprofitletterMissionNonprofitOpenpalpablepivotPosesSignthreat
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