OpenAI CFO Responds to Musk's Lawsuit: It's a Competitive Approach, AI Is Too Expensive for a Non-Profit Model to Survive

Jan. 21 - During the World Economic Forum in Davos, theOpenAI Chief Financial Officer Sarah Friar spoke with Bloomberg in response to Elon.Musk(Elon Musk) has taken legal action to prevent OpenAI Conversion to a for-profit corporation indicates that the behavior of theIt's a competitive tool.

OpenAI CFO Responds to Musk's Lawsuit: It's a Competitive Approach, AI Is Too Expensive for a Non-Profit Model to Survive

Friar said, "We hope he doesn't continue to compete through legal means." Musk, who was one of the early founding members of OpenAI and now owns xAI, has accused OpenAI of going against its founding nonprofit mission.

Freya noted thatDeveloping AI requires huge amounts of financial support, which Musk realized early on would require OpenAI to be much more than a non-profit organizationShe emphasized that OpenAI is looking for new sources of funding and revenue models to support its technology development. She emphasized that OpenAI is seeking new sources of funding and revenue models to support its technology development. While the company may continue to raise capital, Freya also weighed the pros and cons of a public offering. She said that an initial public offering (IPO) may provide the company with new sources of financing, such as structured debt, which could reduce the cost of financing. However, an IPO could also force the company to focus too much on the short-term interests of investors as it develops cutting-edge AI models.

Freya has revealed that the next generation of cutting-edge GPT models could cost billions of dollars to develop. She emphasized that OpenAI needs to attract "the right investors who understand the process of technology development," stating, "Going public could be a potential option in our journey, but I don't want it to be the end of the road for us."

In October last year, OpenAI raised $6.6 billion in a funding round that valued the company at $157 billion (note: currently about 1.15 trillion yuan), making it one of the largest private investments in artificial intelligence. OpenAI is moving into the realm of "intelligent agents," Freya said, developing reasoning models that can replace the work of human employees. Early applications of these technologies include solving everyday problems, such as planning dinner for consumers, or providing software development and research assistant services for businesses.

Freya also mentioned that many enterprise customers were initially exposed to OpenAI's products through their personal lives, and that the enterprise market is an important growth area for OpenAI. She cited Morgan Stanley, for example, which has adopted OpenAI's technology in its wealth management and investment banking businesses. OpenAI's technology is "really penetrating every sector of the economy," Freya concluded.

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