Meta has raised concerns about OpenAI’s plan to transition from a non-profit organization to a for-profit business, urging California Attorney General Rob Bonta to block the move.
In a letter, Meta argued that such a change could have wide-reaching effects on Silicon Valley, as it would allow non-profit investors to enjoy similar financial rewards as traditional for-profit investors, while also benefiting from tax deductions.
Meta also proposed that Elon Musk and Shivon Zilis, both former figures in OpenAI, are the right people to represent the interests of Californians in this matter.
This opposition from Meta comes as the company competes directly with OpenAI in the rapidly growing AI market.
Musk, who was initially a co-founder of OpenAI, has since distanced himself from the organization, launching his own AI company, xAI.
He is now pursuing legal action to prevent OpenAI’s transformation into a for-profit company.
Zilis, who was previously on OpenAI’s board, is also involved in the lawsuit.
In response to Musk’s actions, OpenAI has made public emails and texts, claiming that Musk should focus on competing in the AI market rather than engaging in legal battles.
