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Marketplace Tech

Bytes: Week in Review - OpenAI's for-profit troubles, FTC sues Uber and how VCs are weathering Trump tariffs

Marketplace Tech

American Public Media

Technology, News

4.61.2K Ratings

🗓️ 25 April 2025

⏱️ 13 minutes

🧾️ Download transcript

Summary

It's the last Friday in April and it's time for Marketplace Tech Bytes Week in Review.


This week, we'll talk about how the Federal Trade Commission is suing Uber over its subscription service.


Plus, how the VC world is navigating the uncertainty created by the trade war.


But first, a nonprofit pivot is facing some challenges. Open AI, the maker of ChatGPT was founded about a decade ago as a nonprofit research lab. It's now looking to restructure as a for-profit — specifically, a public benefit corporation


But that transformation is facing resistance.


About 10 former Open AI employees, along with several Nobel laureates and other experts, have written an open letter asking regulators in California and Delaware to block the change.


They argue that nonprofit control is crucial to Open AI's mission, which is to “ensure that artificial general intelligence benefits all of humanity."


Marketplace’s Stephanie Hughes spoke with Jewel Burks Solomon, managing partner at Collab Capital, about how unusual it is to see this kind of conversion.




More on everything we talked about


An Open Letter - Not For Private Gain


Ex-OpenAI workers ask California and Delaware AGs to block for-profit conversion of ChatGPT maker - from the Associated Press


OpenAI’s Latest Funding Round Comes With a $20 Billion Catch - from the Wall Street Journal


FTC Takes Action Against Uber for Deceptive Billing and Cancellation Practices - from the Federal Trade Commission


FTC sues Uber over difficulty of canceling subscriptions, “false” claims - from ArsTechnica


White House Considers Slashing China Tariffs to De-Escalate Trade War - from the Wall Street Journal


VC manufacturing deals were already declining before tariffs entered the picture - from Pitchbook

Transcript

Click on a timestamp to play from that location

0:00.0

Should the creators of artificial intelligence be companies or charities?

0:06.0

From American Public Media, this is Marketplace Tech.

0:09.0

I'm Stephanie Hughes.

0:10.0

It's Friday, well, last Friday in April, and it's time for Marketplace TechBites week in review.

0:24.8

This week we'll talk about how the FTC is suing Uber over its subscription service,

0:29.9

plus how the VC world is navigating the uncertainty created by the trade war.

0:34.9

But first, a non-profit pivot is facing some challenges. OpenAI, the maker of

0:40.6

ChatGPT, was founded about a decade ago as a non-profit research lab. It's now looking to restructure

0:47.0

as a for-profit, specifically a public benefit corporation. But that transformation is facing

0:52.8

resistance. About 10 former OpenAI employees,

0:56.5

along with several Nobel laureates and other experts, have written an open letter asking regulators

1:01.4

in California and Delaware to block the change. They argue that nonprofit control is crucial to

1:07.7

Open AI's mission, which is to, quote, ensure that artificial general intelligence

1:12.1

benefits all of humanity. Jewelberg-Solomon, managing partner at Collab Capital, spoke with me about

1:17.7

how unusual it is to see this kind of conversion. We don't see very often a public conversation

1:24.4

about whether or not a company should be a nonprofit or a for-profit.

1:29.2

And definitely, we don't see so often letters being written to attorney generals to try to

1:34.0

block a transfer in terms of the structure of a company. I think this is so important because,

1:40.5

you know, these folks who have previously worked at Open AI, they have, they're raising really valid concerns around why Open AI should remain a nonprofit.

1:50.1

And all of those concerns around what could happen if it is successful in moving over to a for-profit and the risk that might occur as a result.

2:02.3

Yeah. I want to ask, you know, so opening, I told the Associated Press that any changes to its existing structure would be in service of the

2:07.5

broader public benefit. You know, what happens to an organization at its core when it becomes a

...

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