OpenAI Acquires Stake in Investment Firm Thrive Holdings, Creating Circular Investment Relationship
By
Elissa Welle
Fresh out the oven, still warm. Top of the tray.
Summary
OpenAI has acquired an ownership stake in Thrive Holdings, a private equity investment firm created by Thrive Capital, which is one of OpenAI's main investors. The deal involves no cash exchange but gives OpenAI access to provide employees, models, products, and services to Thrive Holdings' portfolio companies. OpenAI may also receive payouts from Thrive Holdings' future returns, creating a circular investment relationship where both entities are financially intertwined.
Key quotes
· 4 pulledOpenAI announced an ownership stake in the private equity investment firm Thrive Holdings, a company created by Thrive Capital, which is one of the main investors in, you guessed it, OpenAI.
While OpenAI did not spend money on the ownership stake, according to an anonymous source cited by The Financial Times, the company announced it would provide Thrive Holdings' companies with employees, models, products, and services.
OpenAI may also get payouts from Thrive Holdings' future returns, the FT wrote, citing its anonymous source.
It's the latest circular deal in an industry known for running on F
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