Billionaire Elon Musk-owned artificial intelligence startup, xAI, has adopted a for-profit benefit corporate structure in Nevada, following the footsteps of OpenAI and Anthropic. This move positions xAI to make a positive impact on society while reducing accountability to shareholders, according to a late November filing with Nevada, as reported by The Information.
The filing states that xAI aims to create a material positive impact on society and the environment, taken as a whole.
The pursuit of a benefit corporate structure has emerged as a lucrative niche, particularly for companies at the forefront of generative AI. Anthropic, which is backed by Google, operates as a benefit corporation in Delaware, while OpenAI, the entity behind ChatGPT, also embraces a for-profit arm.
Despite the shared corporate structure, the visions of these companies differ. xAI, as stated on its website, seeks to develop AI technologies to accelerate human scientific discovery. Meanwhile, Anthropic’s focus revolves around constructing reliable, interpretable, and steerable AI systems and researching associated risks and opportunities.
Elon Musk has frequently expressed concern about the dangers posed by advanced AI systems. The tech mogul served as one of the founding chairs of OpenAI and was among the early investors. However, he eventually parted ways with the company due to reported disagreements regarding OpenAI’s approach to AI safety.
Notably, last year, Musk, in collaboration with prominent AI researchers, signed an open letter urging AI companies to pause training AI systems more powerful than GPT-4 for a minimum of six months.
Ironically, xAI, under Musk’s leadership, launched its own large language generative AI model called Grok AI. Musk claims that this model is more truth curious than its counterparts. Grok AI has now been introduced in India, but access to the model requires a subscription costing Rs 2,299 per month for smartphone users and Rs 1,300 per month for desktop users.
As xAI spearheads its innovative endeavors with the benefit corporate structure, it joins a growing number of AI companies committed to societal betterment. While benefit corporations provide an opportunity to generate positive change, the true impact of these ventures will be measured by their ability to deliver on their stated goals. With the collective ambitions of xAI, OpenAI, and Anthropic, the world of generative AI continues to evolve, with both promise and caution.
In the pursuit of understanding the true nature of the universe, as Musk initially expressed when announcing xAI, collaboration with X and Tesla has become a significant element of the company’s endeavors. These partnerships indicate a broader commitment to exploring the potential of AI across platforms and industries, driving scientific advancements and promoting societal progress.
As xAI ventures into this new phase, the artificial intelligence startup stands poised to recalibrate its priorities and navigate a complex landscape of expectations. With a focus on societal impact, xAI aims to harness the capabilities of AI to advance scientific discovery and contribute meaningfully to society’s welfare. As the journey unfolds, the world eagerly anticipates the fruits of xAI’s endeavors and their impact on the future of AI and humanity.
