OpenAI was founded in 2015 as a non-profit research lab with a bold and ambitious vision: to advance digital intelligence for the benefit of humanity, without being restricted by financial returns. Early experiments included game AI and robotics research, but at that time there were no products, business models, or revenue sources, and funding primarily came from donations totaling $137 million, supported by tech giants like Amazon, Azure, and Google Cloud. Over time, OpenAI realized that the computational resources and funding required to expand AI capabilities, especially for large language models, far exceeded what donations could sustain. This reality prompted OpenAI to begin a structural transformation.

On December 27, 2024, OpenAI issued a new statement expressing its desire to transition toward a Public Benefit Corporation, combining shareholder interests with those of stakeholders and the public good. However, this development effectively undermines the interests of major investor Microsoft.

First step: Transitioning to a hybrid model, coexisting with Microsoft

In 2019, to meet the financial demands needed to achieve its mission, OpenAI transitioned from a pure research lab to a startup. To raise $10 billion to develop AGI, OpenAI created a unique structure — a profit-making entity controlled by a non-profit organization, with profit caps for investors and employees. This model has allowed OpenAI to secure substantial funding, including over $1 billion from Microsoft, while still focusing on human welfare.

To support its mission, OpenAI has also shifted toward generating revenue through product creation. By 2022, OpenAI launched ChatGPT, enabling over 300 million users weekly to easily access AI, many of whom enjoy the convenience of free usage. This milestone signifies a significant turning point for OpenAI in providing tangible social benefits.

Future: OpenAI moves toward becoming a Public Benefit Corporation (PBC)

As OpenAI enters 2025, it hopes to be more than just a lab or startup, but a continuously evolving institution. To this end, the organization plans to transform its profit-making division into a Delaware Public Benefit Corporation (PBC). This model will align shareholder interests with those of stakeholders and the public good, allowing for substantial fundraising under traditional conditions while remaining consistent with OpenAI's mission.

This transformation will make OpenAI's non-profit division one of the most well-funded non-profit organizations in history. The new PBC equity held by the non-profit organization will be valued separately, far exceeding the funds provided by the initial donors. This enhanced funding will empower the non-profit division to lead charitable programs in key areas such as healthcare, education, and science, promoting social growth.

OpenAI's structural transformation raises concerns about unstable cooperation with Microsoft.

OpenAI's corporate transformation not only changes its capital operation model but may also have profound effects on existing strategic collaborations.

Impact of transforming into a PBC

In the latest statement, OpenAI announced plans to transform its profit-making division into a Public Benefit Corporation (PBC), aiming to attract more capital while balancing public interests with shareholder interests. However, this could further complicate its relationship with Microsoft. Reports indicate that the two sides have already diverged on OpenAI's valuation changes and structural adjustments, further challenging Microsoft's vested interests in the collaboration.

Necessity of renegotiating cooperation terms

OpenAI explicitly mentioned in its statement that its mission requires substantial capital support, which is one of the core issues causing friction with Microsoft. Microsoft is concerned that its investment returns may be diluted after OpenAI's structural transformation, prompting them to hire investment banks to reassess their equity distribution.

Additionally, OpenAI's transformation may impact the exclusive terms of cooperation with Microsoft. For example, Azure's status as OpenAI's exclusive cloud service provider may face challenges. Adjustments to cooperation terms could further exacerbate tensions between the two parties.

Resource diversification and infrastructure competition

OpenAI is trying to reduce reliance on a single cloud service provider and may include other cloud computing platforms in its collaborations to lower usage costs. This strategy aligns with the statement's mention of 'building new infrastructure,' demonstrating OpenAI's preparation for resource independence and flexibility.

However, this trend poses a threat to the core value of Microsoft Azure. Azure may need to enhance its attractiveness of conditions; otherwise, it risks losing its position as OpenAI's exclusive cloud partner.

Contradiction between new mission and cooperation framework

OpenAI proposed in its statement that its mission has expanded to building a new AI ecosystem and economic infrastructure. However, this long-term goal's demand for capital and operational independence may conflict with Microsoft's short-term business return objectives.

Additionally, Microsoft's investment focus is based on financial returns, while the structural design of interest redistribution after OpenAI's transformation into a public benefit corporation may weaken Microsoft's advantages, further increasing conflicts of interest between the two.

Possible future cooperation models between the two parties

Despite ongoing friction, there may still be possibilities for OpenAI and Microsoft to maintain their cooperation. If OpenAI successfully attracts other sources of funding, the two sides might reshape their cooperation framework to meet new operational demands.

At the same time, both sides may adopt different defensive strategies:

  • Microsoft: May actively invest in other AI startups or reduce reliance on OpenAI through internal development.

  • OpenAI: May strengthen collaboration with other cloud service providers (such as Google Cloud or AWS) to enhance bargaining power and reduce reliance on Azure.

In the future, both parties may explore more flexible non-exclusive agreements, maintaining a certain level of strategic collaboration while ensuring resource diversity. The term 'structural evolution' in the statement reveals that this is an open game of interests. The outcome not only affects the two companies but may also alter the overall development landscape of the AI ecosystem. How both sides readjust their collaboration terms in the future will be a key factor influencing the direction of the AI industry.

This article on OpenAI announcing its transformation into a Public Benefit Corporation, directly conflicting with Microsoft's interests, first appeared in Chain News ABMedia.