More than 30 AI experts and ex-OpenAI staffers published an open letter urging the attorneys general of Delaware and California to block OpenAI’s restructuring, warning it would undermine its original mission to benefit humanity.

9 former OpenAI employees joined notable figures like AI ‘godfather’ Geoffrey Hinton in calling to block the startup’s transition from nonprofit to for-profit. They argue the move will remove vital nonprofit oversight and safeguards, and redirect AGI development from public benefit to shareholder returns.

OpenAI needs transition approval from both state AGs by year-end to secure a pending $40B SoftBank investment contingent on the restructuring. The letter follows an earlier motion by 12 former employees seeking to weigh in on Elon Musk's lawsuit against the company and CEO Sam Altman.

Why it matters: With billions in investments hanging in the balance and both former employees and AI heavyweights lining up against the AI leader, the opposition continues to mount against OpenAI’s for-profit shift — but we’ve seen little movement to suggest the transition is in jeopardy, despite the red flags being raised.