OpenAI Changes The Structure Of AI Ventural Capital Fund Management, Sam Altman No Longer Controls Funds

JAKARTA - OpenAI has changed the governance structure of venture capital funds that support artificial intelligence startups, so that the leading chief executive officer (CEO), Sam Altman, no longer owns or controls these funds, in accordance with submissions to the United States Securities and Exchange Commission (SEC).

The change, documented in a March 29 filing, comes after Altman's ownership of OpenAI, Startup Fund, caused an oddity due to an unusual structure - while aligned similar to the company's venture's capital arm, the fund was raised by Altman from an outside limited partner and he made an investment decision. OpenAI says Altman has no financial interest in the fund even if it has ownership.

Axios first reported the change in ownership on Monday, April 1. In a statement, an OpenAI spokesperson said the initial general partner/GP structure of the fund was a temporary setting, and "this change provides more clarity."

OpenAI Startup Fund invested $175 million compiled from OpenAI partners like Microsoft, although OpenAI itself is not an investor.

The control over the funds has been transferred to Ian Hathaway, a partner in the fund since 2021, according to the submission. Altman is no longer a common partner in the fund.

OpenAI says Hathaway has overseen the fund accelerator program and is leading investments in companies such as Harvey, Cursor, and Ambience Healthcare.

Altman, the former president at the Y Combinator startup accelerator, previously attracted attention to his widespread investment interest outside OpenAI, from crypto startups Worldcoin to fusion companies Helon Energy, as well as fundraising activities in the Middle East.

OpenAI said an independent investigation following Altman's dramatic dismissal from the company in November concluded that he had made no mistake in terms of OpenAI's product or financial safety.