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Equity Drama at OpenAI: Sam Altman Under Scrutiny

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Apr 22, 2025
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INSIGHT

Sam Altman's Equity Controversy

  • Sam Altman claimed he had no equity while testifying before Congress but later revealed a small equity stake through a Sequoia fund and Y Combinator fund.
  • This lack of disclosure raises questions about transparency given OpenAI's unique nonprofit-to-for-profit transition.
INSIGHT

OpenAI’s Massive Valuation Growth

  • OpenAI's valuation surged 10x from $14 billion in 2021 to $150 billion recently, amplifying the value of any equity.
  • The exact worth of Altman's stake is unclear due to fund secrecy, but his investment potentially multiplied significantly.
INSIGHT

Disputed Awareness of Equity Stake

  • OpenAI says Altman had no direct ownership, only a minor stake in a Sequoia fund that included OpenAI shares.
  • It’s implausible Altman was unaware of this during his CEO tenure, reflecting unusual opacity in disclosure.
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