OpenAI abandons plans to jettison non-profit oversight board • FRANCE 24 English

OpenAI abandons plans to jettison non-profit oversight board • FRANCE 24 English

A time now for a look at the today’s top business news with Brian Quinn. Hi Brian. Hey Caris. You’re starting with a major turnaround for one of the biggest names in artificial intelligence. So Open AI says it’s renouncing its previous plan to transition to a for-profit firm. The company was founded in 2015 by a group of tech leaders including CEO Sam Alman and Tesla chief Elon Musk with the stated goal of developing AI that benefits all of humanity. To that end, it was initially structured as a nonprofit funded by donations. As the technology developed, though, the need for increased funding to pay for the massive computing power required led the firm to launch a for-profit subsidiary in 2019 to attract private investment from the likes of Microsoft and SoftBank. As Altman’s profile grew, the nonprofit governing board grew increasingly concerned that safety concerns were being sidelined in favor of profit motives. The power struggle in 2023 saw Altman briefly fired before being reinstated. Last year, Musk sued OpenAI over Altman’s plans to free it from control of that nonprofit board. The latest move will see the for-profit subsidiary issue conventional equity stakes instead of profit sharing entitlements while leaving the nonprofit with ultimate control. Alman has frequently commented on the difficulty of developing the revolutionary technology in a responsible manner. Here he is last year in Davos. It’s a very stressful thing and it should be because we’re trying to be responsible about very high stakes. I expect more strange things and having a higher level of preparation, more resilience, um more time spent thinking about all of the strange ways things can go wrong. Um that’s really important. Next to Donald Trump’s threat to slap US tariffs on foreign made films is shaking up the industry at home and abroad. So, countries like the UK and Australia, whose own film industries rely on American production, say that they will be bringing up Trump’s plan for 100% tariffs during trade negotiations. California Governor Gavin Newsome, meanwhile, says he wants to partner with the president to create a 7.5 billion dollar federal tax credit to help America’s motion picture sector. That would be the biggest subsidy program in the industry’s history. A number of US states already provide significant tax credits aimed at attracting productions, but Newsome’s proposal would be the first ever at a federal level. California has lost more than a quarter of its productions over the past 3 years alone. While unions have said they support efforts to bring jobs back to Hollywood, Trump’s threats have been met with widespread confusion. Many in the industry worry that tariffs would cause more harm than good, increasing the cost of productions for films set in foreign locations and driving up prices for cinema tickets and streaming subscriptions. Trump has so far declined to provide details of his plan, instead taking a moment to slam Newsome as he spoke to the press on Monday. Here’s Trump. The governor is a grossly incompetent man. He’s just allowed it to be taken away from, you know, Hollywood. I’m not looking to hurt the industry. I want to help the industry. uh but uh they’re given financing by other countries. They’ve given a lot of things and uh the industry was decimated. And how are the markets shaping up so far today, Brian? It’s been a mixed picture for Asian indexes on a Tuesday. Caris Tokyo was closed for a holiday, but Chinese markets were back to trading after a long weekend. Shanghai and Hong Kong both in positive territory amid signs of potential deescalation in the US China trade war. India’s Nifty50 index though slightly in the red despite reports of progress on a US trade deal with New Delhi proposing zero tariffs on American steel car parts and pharmaceuticals here in Europe. London opening nearly half a percent higher after Monday’s bank holiday with oil and gas shares leading the way there. The cat car in Paris and the DAX in Frankfurt each up slightly. Investors are now looking ahead to the next interest rate decision from the Federal Reserve as America’s central bank begins its first policy meeting since Trump announced his global reciprocal tariffs on April 2nd. And Brian, finally for business, adult content creators in Sweden are concerned that their livelihoods could soon be under threat. Indeed, a new bill has been introduced in the Swedish Parliament that would make it illegal to pay someone to perform any sexual act in front of a camera. If it passes, it would squarely target a number of sites that allow users to do just that, including the popular only fans. Reaction has been mixed. Advoc advocacy groups rather for victims of sexual abuse are in favor of the bill, but many content creators fear a loss of income. LGO takes a closer look. Ka Pudden Pant hasn’t been able to work a regular job since developing exhaustion syndrome several years ago. Now she works 10 hours a week from home, but not quite in the way you might think. So many boxes, everything’s scattered. Sadly, this one’s ruined since I wore it when my breasts were too big. Creates content on video on demand website only fans. Precisely the sort of site now in the Swedish government’s crosshairs. They’ve proposed a bill that would make it illegal to pay anyone to perform a sexual act on camera. a digital update to the country’s existing prostitution law that makes it illegal to buy but not to sell one’s own body for sexual services. I recognize that there are individuals who are adversely affected. However, I genuinely enjoy my work. I pay taxes and VAT, so should my workplace be prohibited? I think this is my safe space where I’ve been able to do my work without meeting anyone. The bill’s backers include a nonprofit aiding exploited women in the sex trade. For one of its directors, there’s no difference to abuse online or offline. The stories we hear make it very clear that this creates constant anxiety and a lack of control over these images and video. Who will see this? How can I take it down? It’s really difficult to take down. For Kina, if the bill goes through, she says she’ll have to leave Sweden and wants more dialogue. I don’t get it. I think they should talk to us girls about this and maybe create a more protected environment for what we do instead. Under the proposed law, pre-recorded material would still be legal, but influencing its content would not. The bill is due to be introduced over the summer. A bit of a dilemma for the Swedish lawmakers there, Kirsten. All right.

OpenAI says it’s no longer seeking to transition to a fully for-profit company. The decision follows public backlash and a lawsuit by Elon Musk. Also in this edition: California Governor Gavin Newsom proposes a $7.5 billion tax credit for the US film industry instead of Donald Trump’s 100% tariffs on foreign films, and Sweden mulls a ban on paying for adult content online.
#OpenAI #Altman #Musk

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