Part 2/7:
OpenAI’s decision to change its corporate structure is largely driven by the pressing need to raise more capital. The company acknowledges, "we once again need to raise more capital than we imagine." With investors showing interest in backing firms that can generate significant returns, OpenAI’s current capped-profit model appears insufficient. Their new direction towards a PBC includes plans to offer what they term "ordinary shares of stock," signaling a break from their traditional governance practices. This new model presents a dual mandate — while it has fiduciary duties to generate value for shareholders, it will also maintain its public mission.