Comment by WestCoastJustin
3 years ago
They do own 49% [1]. So, sure they are separate organizations. But, when someone owns 49% of your house they have some sway in the decision making that happens. When you look at this from a integrations standpoint, where MS is going to have this baked into all their products, you can expand this logic way more. They are for sure influencing roadmap in areas they are interested in.
[1] https://www.theverge.com/2023/1/23/23567448/microsoft-openai...
Not entirely accurate. They don’t own 49% yet [0].
Microsoft invested $10B, and get 75% of OpenAI’s profits until they receive $10B and _then_ they get their 49% stock certificate.
[0] https://www.semafor.com/article/01/09/2023/microsoft-eyes-10...
Checks out. Thank you for your work. Surprised Sam agreed to 49% after pay back. That is crazy amount of equity to give out. I mean it makes sense, especially since MS is providing the infrastructure. It will allow them to scale.
yeah, i thought it was a good deal - it is, if it's JUST one or the other, or even 75% + like maybe 5% stock?
Sounds like a good excuse to never make any profits, and keep reinvesting all revenue into more R&D?
Didn't know that. Thank you. That's like a Mr. Wonderful deal structure.