Comment by neom | Hacker News Reader

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Comment by neom | Hacker News Reader

While researching OpenAI use of unique corporate governance and structures, I found these interesting resources:

OpenAI’s Hybrid Governance: Overcoming AI Corporate Challenges. - https://aminiconant.com/openais-hybrid-governance-overcoming...

Nonprofit Law Prof Blog | The OpenAI Corporate Structure - https://lawprofessors.typepad.com/nonprofit/2024/01/the-open...

AI is Testing the Limits of Corporate Governance (research paper)- https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4693045

OpenAI and the Value of Governance - https://www.glasslewis.com/openai-and-the-value-of-governanc...

Great resources - thanks for sharing!

You can also access their 990 form: https://projects.propublica.org/nonprofits/organizations/810...

The critical issues for OpenAI is that structurally the cost of collecting data and training models is huge and makes the previous wave of software + physical business models (i.e. Uber, Airbnb, etc) look cheap to operate in comparison. That makes OAI more reliant on cloud providers for compute. Also their moat & network effect is dependent on a more indirect supply of user generated content. Perhaps there's an advantage of using IP to train on as a non profit as some of the articles above argue.

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