OpenAI plans transition to public benefit corporation to attract investment and support charity

OpenAI plans to transition its for-profit arm into a Delaware public benefit corporation (PBC) to attract more investment while supporting a related charity. This change aims to balance profit-making with social goals, similar to rivals like Anthropic. Under the new structure, the non-profit will own shares in the for-profit, which will fund charitable initiatives in areas like healthcare and education. PBCs are required to pursue public benefits but do not receive special tax exemptions like non-profits. Legal experts note that becoming a PBC does not guarantee prioritizing social missions over profits. The law requires boards to balance these interests, and shareholders influence how closely a PBC adheres to its stated goals.