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OpenAI’s shock restructure u-turn

OpenAI’s shock restructure u-turn

📝 250 CEOs demand AI in schools!

Martin Crowley, Liam Lawson & Amanda Greenwood
May 06, 2025

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Tuesday’s AI Report

• 1. 🤯 OpenAI’s shock restructure u-turn
• 2. 💹 Invest in the fastest-growing software start-up: Mode Mobile
• 3. 📝 250 CEOs demand AI in schools!
• 4. 💰 OpenAI’s biggest acquisition yet?
• 5. 🤖 Build live web apps with Hostinger
• 6. ⚙️ Trending AI Tools
• 7. 🏗️ Practical AI Applications
• 8. 📑 Recommended Resources

Read Time: 5 minutes

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OpenAI’s shock restructure u-turn

🚨 Our Report

Last year, OpenAI revealed it was planning to transition from a non-profit organization into a for-profit one, largely to raise capital and appease investors. In a shock u-turn that no one saw coming, it’s now announced that its nonprofit division will continue to oversee and control its commercial subsidiary, after all.

🔓 Key Points

The for-profit subsidiary will now transition into a Public Benefit Corporation (PBC), like Anthropic and xAI, so OpenAI will be legally obligated to consider more than just making a profit when delivering AI products.
It made this decision “after engaging in constructive dialogue with the offices of the Attorney General of Delaware and the Attorney General of California” (both had the power to block OpenAI’s planned restructuring).
CEO Sam Altman said this reversal will allow OpenAI to attract new investments, create the "most effective nonprofit in history,” and deliver AGI (Artificial General Intelligence), which will require trillions of $$$.

🔐 Relevance

Many will be pleased with this decision, the most obvious being Elon Musk. Last year, Musk filed a lawsuit against OpenAI, opposing the planned for-profit transition, accusing it of abandoning its original founding mission and of breach of contract—Musk was one of the first, original OpenAI co-founders. He believes he was coerced into pouring funding into the start-up, under the pretence that it would remain a non-profit, when all along, there were plans to convert it into a for-profit.

This tech company grew 32,481%...

No, it's not NVIDIA… It's Mode Mobile, 2023’s fastest-growing software company according to Deloitte.

Their disruptive tech, the EarnPhone and EarnOS, has helped users make and save an eye-popping $325M+, driving $60M+ in revenue and a massive 45M+ consumer base. And having secured partnerships with Walmart and Best Buy, Mode’s not stopping there…

Like Uber turned vehicles into revenue-generating assets, Mode is turning smartphones into an easy, passive revenue source. The difference is that you get to invest early in Mode’s pre-IPO offering at just $0.26/share.

They’ve just been granted the stock ticker $MODE by the Nasdaq2, and the time to invest at their current share price is running out.

Read the offering circular at invest.modemobile.com

🚨 Our Report

Over 250 CEO’s and tech leaders from major firms—including Microsoft, Uber, American Airlines, Airbnb, Etsy, and Indeed—have signed an open letter calling for AI and computer science to become a mandatory part of K-12 curriculum in the US.

🔓 Key Points

The letter, backed by an initiative called “Unlock8,” argues that AI education is essential to “keeping America competitive,” and its goal is for all students to get the skills needed to thrive in a world increasingly driven by AI.
It references research showing that students who take just one computer science course could boost their early career earnings by 8%, and expertise in AI will be the most sought-after skill in the next five years.
It highlights that “countries like Brazil, China, [South] Korea, and Singapore have already made AI mandatory for every student…The US is falling behind…We must prepare our children to be AI creators, not just consumers.”

🔐 Relevance

This letter comes after President Trump signed an Executive Order last week to integrate AI into K-12, higher education, and workplaces through partnerships between industry and academia.

OpenAI is reportedly about to acquire AI-powered coding start-up, Windsurf (formerly Codeium) for around $3B, making it the biggest acquisition OpenAI has ever made—if it goes through.
Windsurf was reportedly in talks with other investors, and was previously valued at $1.25B following a $150M funding round last August, led by VC firm General Catalyst and Kleiner Perkins.
If successful, the acquisition would allow OpenAI to compete with rivals such as Anthropic, whose chatbots already have AI-powered coding capabilities, allowing programmers to write code and fix bugs.

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After typing this prompt, you will get R interpreter responses to the commands you type, without explanations, that show what the terminal should display.

I want you to be an R interpreter. I'll type commands and you'll reply with what the terminal should show. I want you to reply with just the terminal output inside one unique code block, and nothing else. Do not write explanations. Do not type commands unless I instruct you to do so. When I need to tell you something in english, I will do so by putting text inside curly brackets {like this}. My first command is "sample(x = 1:10, size = 5)"

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STARTUPS

Name: FeedHive
Value: $15M
Funding raised: Bootstrapped

FeedHive is an AI-powered social media management startup that leverages AI to suggest content ideas and improvements, and predict how a piece of content will perform.

PODCASTS

The next wave of LLM (Large Language Model) innovation

In this podcast episode, Anthropic's David Soria Parra (who created Model Context Protocol) chats with a16z's Yoko Li about new use cases for connecting LLMs to external sources and what's coming next for LLMs.