OpenAI employees sell shares worth up to $30M each
What's the story
OpenAI allowed its employees, both current and former, to sell shares worth up to $30 million each in a recent secondary transaction. The move comes as part of an effort to let its staff benefit financially from the ongoing artificial intelligence boom. According to The Wall Street Journal, more than 600 employees took part in this share sale, which was conducted last October.
Market value
Sale pegged OpenAI's valuation at around $400B
The secondary transaction, which saw employees selling a combined $6.6 billion in shares, valued the company at an estimated $400 billion. The sale gave the eligible employees an opportunity to sell some of their equity stakes, with around 75 participants cashing out the maximum allowed amount of $30 million each.
Industry impact
Way to reward employees for their hard work
The secondary transaction has been seen as a way to reward employees for their hard work and dedication to OpenAI's mission of developing safe and beneficial AI technologies. It also highlights how far the company has come.