OpenAI Shifts to Public Benefit Model Amid Musk’s Accusations

OpenAI has abandoned its for-profit structure, transitioning to a Public Benefit Corporation under the control of its original non-profit entity. The move, announced in early May, signals a strategic pivot toward democratizing AI while continuing to secure substantial capital for development.

Sam Altman’s vision of transparent, accessible artificial intelligence now faces scrutiny from Elon Musk, who has publicly accused OpenAI of betraying its founding principles. Musk’s demands for full control or a Tesla merger remain unresolved, casting a shadow over the organization’s governance overhaul.

The restructuring raises fundamental questions about balancing ethical AI development with the financial realities of cutting-edge research. This structural shift occurs against a backdrop of increasing competition in the AI sector, where cryptocurrency projects like AGI and FET explore decentralized alternatives to corporate-controlled artificial intelligence.