Microsoft (MSFT.O) owns 49% of the for-profit operating company, according to sources familiar with the matter. Other investors and employees control 49%, with 2% owned by OpenAI's nonprofit parent, according to Semafor. OpenAI's board fired Altman on Friday after a "breakdown of communications," according to an internal memo seen by Reuters. Venture capital investors usually hold board seats or voting power in their portfolio companies but OpenAI is controlled by its nonprofit parent company OpenAI Nonprofit, which according to OpenAI's website was created to benefit "humanity, not OpenAI investors." Nonprofit boards have legal obligations to the organizations they oversee.

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Persons: Dado Ruvic, Sam Altman, OpenAI, Altman, Minor Myers, Paul Weitzel, Weitzel, Steve Jobs, Anna Tong, Krystal Hu, Jody Godoy, Tom Hals, Kenneth Li, Lisa Shumaker, Matthew Lewis Organizations: REUTERS, Reuters, Microsoft, Venture, OpenAI Nonprofit, University of Connecticut, Nonprofit, University of Nebraska, Apple, Thomson Locations: OpenAI, San Francisco, New York