Recent filings with the US Securities and Exchange Commission has revealed that Sam Altman will no longer be in control of OpenAI venture capital fund.
Ian Hathaway, a partner at the fund since its establishment in 2021, takes over at a time of growing scrutiny over the unusual structure of the OpenAI Startup Fund.
Despite its resemblance to a typical corporate venture capital fund, Altman’s sole ownership and decision-making authority raised eyebrows within the industry. However, OpenAI clarified that Altman had no financial interest in the fund, despite his titular ownership.
According to statements from OpenAI, the fund’s initial governance structure, with Altman as the named controller, was always intended to be temporary. The recent transfer of control to Hathaway is seen as a move towards increased transparency and clarity within the organization’s investment activities.
Hathaway, who joined OpenAI in 2021, has been actively involved in managing the Startup Fund since its inception. He has led investments in companies such as Harvey, Cursor, and Ambience Healthcare.
Hathaway’s expertise in venture capital and his contributions to the fund’s success makes him a fitting successor to oversee its operations.
The OpenAI Startup Fund, which amassed $175 million in commitments last year, has seen a commendable increase in its gross asset value, now standing at over $325 million.
Investments in the fund include contributions from partners such as Microsoft, pointing to the industry’s confidence in OpenAI’s vision and potential impact.
The fund’s portfolio comprises early-stage AI-driven companies across various sectors, including healthcare, law, and education. Among its notable investments are Descript, a collaborative editing platform, valued at $553 million, and Ghost Autonomy, a pioneer in autonomous driving software.
This governance change is important for OpenAI as it strives to uphold transparency and accountability in its investment strategy, enhancing innovation and advancing artificial intelligence while maintaining the highest standards of integrity and governance.
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