Term of the Moment
digital
Definition: OpenAI
(OPEN Artificial Intelligence) An AI research laboratory founded in 2015 to create an artificial general intelligence (see AGI). OpenAI is the most widely known AI company and is operated by the non-profit OpenAI, Inc., which includes for-profit subsidiaries.
ChatGPT and Microsoft
OpenAI is famous for its GPT large language models (LLMs), from which ChatGPT was derived (see GPT and ChatGPT). As of 2025, Microsoft has invested an estimated $13 billion in the company and has integrated OpenAI technologies into its products. See Project Stargate and large language model.
Out After Three Years
In 2018, unhappy about the direction OpenAI was taking, Elon Musk offered to run the company. When the board turned him down, Musk left to form his own AI company (see xAI).
Altman Out and Back In
In November 2023, the OpenAI board removed Sam Altman, claiming they lost confidence in his leadership. However, after pressure from employees and investors, Altman was reinstated within a few days.
Musk Sued, Then Dropped It
In February 2024, Musk sued OpenAI and Altman claiming the company was no longer a non-profit entity, but if it changed its name to "ClosedAI," he would drop the lawsuit. Three months later, he ended the suit without explanation.
Disclosure
Ziff Davis, PCMag's parent company, filed a lawsuit against OpenAI in April 2025, alleging it infringed Ziff Davis copyrights in training and operating its AI systems.
For Detailed Insights
ChatGPT and Microsoft
OpenAI is famous for its GPT large language models (LLMs), from which ChatGPT was derived (see GPT and ChatGPT). As of 2025, Microsoft has invested an estimated $13 billion in the company and has integrated OpenAI technologies into its products. See Project Stargate and large language model.
Out After Three Years
In 2018, unhappy about the direction OpenAI was taking, Elon Musk offered to run the company. When the board turned him down, Musk left to form his own AI company (see xAI).
Altman Out and Back In
In November 2023, the OpenAI board removed Sam Altman, claiming they lost confidence in his leadership. However, after pressure from employees and investors, Altman was reinstated within a few days.
Musk Sued, Then Dropped It
In February 2024, Musk sued OpenAI and Altman claiming the company was no longer a non-profit entity, but if it changed its name to "ClosedAI," he would drop the lawsuit. Three months later, he ended the suit without explanation.
Disclosure
Ziff Davis, PCMag's parent company, filed a lawsuit against OpenAI in April 2025, alleging it infringed Ziff Davis copyrights in training and operating its AI systems.
Based on more than 300 interviews with nearly everyone involved in OpenAI, journalist Karen Hao's 2025 400-page book covers OpenAI's fascinating story, which in just a few years has become one of the most famous companies on the planet.