OpenAI CEO Reveals Absence of IPO Plans Due to Unique Company Structure

Stockholm - OpenAI, the company behind ChatGPT and backed by Microsoft, has announced that it currently has no intention of going public, according to Chief Executive Sam Altman's remarks at a conference in Abu Dhabi.

Altman explained that the company's future decisions, particularly regarding the development of super intelligence, might not align with traditional investor expectations. As a result, OpenAI is not inclined towards pursuing an initial public offering (IPO) to ensure legal protection from potential conflicts with public market regulations and Wall Street standards.

OpenAI has successfully secured $10 billion in funding from Microsoft, with a valuation of nearly $30 billion, as it focuses on expanding its computing capabilities. Altman further described the company's structure as unique, featuring a capped-profit arrangement that combines the benefits of a non-profit organization with the ability to raise external funds.

While OpenAI continues to advance its artificial intelligence capacities, Altman and numerous prominent scientists involved in the technology's creation and promotion have expressed concerns about its potential risks. Specifically, they have highlighted the dangers associated with generative AI, such as ChatGPT, which some have likened to threats of an extinction-level event. Consequently, they have emphasized the need for appropriate regulation.

Altman has embarked on a global tour, engaging with heads of state from various countries. During his visit to the United Arab Emirates on Tuesday, he announced plans to travel to Qatar, India, and South Korea.

During his time in Europe, Altman sparked controversy by suggesting that OpenAI might relocate from the region if compliance with proposed AI regulations becomes overly burdensome. His comments drew criticism from several lawmakers, including EU industry chief Thierry Breton. However, OpenAI later retracted its stance.

Altman clarified on Tuesday that the company did not issue any threats to leave the EU. He expressed confidence in OpenAI's ability to comply with regulations and mentioned the ongoing need for more clarity on the EU AI Act. Altman emphasized OpenAI's enthusiasm for operating in Europe.

The EU is currently developing a comprehensive set of AI laws, including provisions that would require companies utilizing tools like ChatGPT to disclose copyrighted material used in training their systems. OpenAI does not disclose such data for its latest AI model, GPT-4.

Altman did find support from EU tech chief Margrethe Vestager, who interpreted his comments as a commitment to doing their best rather than a threat.

Altman also discussed the future of AI, stating that technologies like GPT-4 would soon be perceived as insignificant. He highlighted the convergence of various mediums, including images, audio, video, text, and computer programming, as the driving force behind AI's growth.

While concerns about AI replacing jobs in sectors like transportation, logistics, administration, production, services, and retail persist, Altman emphasized that future employment opportunities would significantly differ from current roles, presenting new prospects for individuals.