OpenAI Completes Major Reorganization With 135 Billion Microsoft Stake

TIME - Tech 

An illustration photo shows the OpenAI logo displayed on a smartphone with the Microsoft logo in the background in Chongqing, China on Aug. 27, 2025. An illustration photo shows the OpenAI logo displayed on a smartphone with the Microsoft logo in the background in Chongqing, China on Aug. 27, 2025. OpenAI has completed a restructuring, dividing itself into a nonprofit and for-profit entity, the company announced on Tuesday. The nonprofit arm, now called the OpenAI Foundation, will have a $130 billion stake in the for-profit enterprise, a public benefit corporation called OpenAI Group PBC. "The OpenAI Foundation and OpenAI Group will work in concert to advance solutions to hard problems and opportunities posed by AI progress," the company said in its blog post announcing the restructuring. "This includes making intelligence a tool that everyone can benefit from, building safe and aligned systems, turbocharging scientific discovery, and strengthening global cooperation and resilience."