OpenAI aims to attract more investment by removing ‘AGI’ clause with Microsoft, FT reports

(Reuters) -OpenAI is in discussions to remove a clause that shuts Microsoft (NASDAQ:MSFT) out of the start-up’s most advanced models when it achieves “artificial general intelligence”, as it seeks to unlock future investments, the Financial Times reported on Friday.

As per the current terms, when OpenAI creates AGI – defined as a “highly autonomous system that outperforms humans at most economically valuable work” – Microsoft’s access to such a technology would be void.

The ChatGPT-maker is exploring removing the condition from its corporate structure, enabling Microsoft to continue investing in and accessing all OpenAI technology after AGI is achieved, the FT reported, citing people familiar with the matter.

Microsoft and OpenAI did not immediately respond to Reuters’ requests for comment.

The clause was included to protect the technology from being misused for commercial purposes, giving its ownership to OpenAI’s non-profit board.

“AGI is explicitly carved out of all commercial and IP licensing agreements,” according to OpenAI’s website.

The OpenAI board would determine when AGI is achieved, the website said.

OpenAI’s board is discussing the options and a final decision has not been made, the FT report said.

Microsoft-backed OpenAI was working on a plan to restructure its core business into a for-profit benefit corporation no longer governed by its non-profit board, Reuters reported first in September.

In October, OpenAI closed a $6.6 billion funding round which valued it at $157 billion.