Report: Apple and OpenAI have signed a deal to partner on AI

Apple and OpenAI Partnership Deal

Deal Confirmation
Apple and OpenAI have officially partnered, integrating OpenAI's AI technology into Apple's products, enhancing their capabilities and potentially boosting OpenAI's valuation by billions.

Internal Opposition
John Giannandrea, Apple's head of machine learning, has expressed resistance to implementing large language model-driven chatbots in Apple products, highlighting internal disagreements.

Broader Implications
The partnership has raised concerns from Microsoft, considering their existing substantial investment in OpenAI, which could be affected by the new Apple deal.

Potential Changes in OpenAI's Structure
OpenAI might transition from its unique non-profit/for-profit hybrid structure to a traditional for-profit or a benefit corporation (B-Corp) to align more closely with corporate goals beyond shareholder profits.

The partnership with Apple is one of several factors that have solidified Sam Altman's position and influence within OpenAI. Despite facing an attempted ouster in the past, Altman has managed to secure significant wins for the company, including the deal with Apple to use OpenAI's conversational artificial intelligence in its products. This deal could be worth billions of dollars to OpenAI, further cementing Altman's role as a crucial figure within the organization. Additionally, Altman and his allies are reportedly seeking to convert OpenAI into either a traditional for-profit corporation or a benefit corporation known as a B-Corp, which would provide more flexibility in pursuing goals beyond shareholder interests. In summary, the Apple partnership and other successful deals have strengthened Altman's position and influence within OpenAI.