“We secured concessions that ensure charitable assets are used for their intended purpose, safety will be prioritized, as well as a commitment that OpenAI will remain right here in California,” Bonta said in a statement to TIME. “With these important concessions in place, we will not be in court opposing OpenAI’s recapitalization plan.”
Bonta’s approval followed nearly a year of review by the California and Delaware Attorneys General, who had expressed concern about the nonprofit’s transition to a for-profit structure.
Microsoft’s Expanding Role in OpenAI
Since first investing in OpenAI in 2019, Microsoft has been its most significant backer. With this restructuring, Microsoft’s total investment has now reached $135 billion, solidifying its position as a key strategic partner.
OpenAI’s blog post noted, “Since 2019, Microsoft and OpenAI have shared a vision to advance artificial intelligence responsibly and make its benefits broadly accessible.” The statement added that their new agreement “sets the stage for long-term success for both organizations.”
