OpenAI plans to reduce partner payouts from 20% to about 8% of its revenue by the end of the decade, potentially adding over $50 billion to its funds. Negotiations are ongoing with Microsoft regarding fees for server usage. Additionally, OpenAI has a tentative agreement with Microsoft for a $100 billion equity stake to be provided to its overseeing nonprofit, though details remain sparse. This shakeup is drawing scrutiny from regulators, competitors, and advocacy groups concerned about the implications of AI development. OpenAI’s governance changes, initiated from its origins as a nonprofit in 2015, are under investigation by the California Attorney General, who emphasizes the need to protect charitable assets and uphold safety protocols. The situation reflects growing concerns about AI safety and regulatory compliance as OpenAI pivots toward a more for-profit model. Stay informed on these developments and their impact on the AI landscape.
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