Mark Zuckerberg-Led Meta Joins Elon Musk To Oppose OpenAI's Transition To 'For-Profit'

This move positions Meta alongside Elon Musk, who has been openly critical of OpenAI CEO Sam Altman regarding the company’s strategic direction.

Meta, in a letter to the Californian attorney general, wrote that Elon Musk is qualified and well-positioned to represent the interests of Californians in this matter.

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Elon Musk's ongoing battle against ChatGPT maker OpenAI has been quite evident, as it is opposing the latter's shift from 'Not-For-Profit' to 'For-Profit' organisation. Now, Mark Zuckerberg-led Meta is siding with Musk in the legal battle against OpenAI. According to reports, Meta has urged the Californian attorney general to block OpenAI's conversion. As per the Wall Street Journal, Meta has written a letter to Attorney General Rob Bonta stating that allowing OpenAI to transition into a for-profit would set a dangerous precedent that would enable startups to exploit the benefits of non-profit status before turning into profit-making ventures.

Wall Street cited the letter stating, “OpenAI’s conduct could have seismic implications for Silicon Valley. If OpenAI’s new business model is valid, non-profit investors would get the same for-profit upside as those who invest the conventional way in for-profit companies while also benefiting from tax write-offs bestowed by the government.”

Musk Is Qualified To Represent Californians' Interests: Meta

In the letter, Meta expressed its support for the efforts of Musk and Shivon Zilis, a business and personal associate, to advocate for public involvement in determining whether OpenAI should be permitted to transition into a for-profit company. The letter read, “Although we ask your office to take direct action, we believe that Mr. Musk and Ms. Zilis are qualified and well-positioned to represent the interests of Californians in this matter.”

This move positions Meta alongside Elon Musk, who has been openly critical of OpenAI CEO Sam Altman regarding the company’s strategic direction. Musk, a co-founder of OpenAI in 2015 when it operated as a non-profit, has accused the organisation of abandoning its original mission by establishing a for-profit arm and collaborating with Microsoft to dominate the AI industry.

As a leading competitor in the AI field, Meta has invested substantial resources in advancing its own AI initiatives. Meanwhile, OpenAI chairman Bret Taylor has defended the proposed transition, emphasising that the non-profit division will retain full ownership of the for-profit entity, ensuring the company remains committed to its mission of advancing AI for the benefit of humanity.