OpenAI announced Thursday that it reached a non-binding agreement with Microsoft, its largest investor, on a revised partnership that would allow the startup to convert its for-profit arm into a public benefit corporation (PBC).

The transition, should it be cleared by state regulators, could allow OpenAI to raise additional capital from investors and, eventually, become a public company.

In a blog post, OpenAI’s Board Chairman Bret Taylor said that OpenAI’s nonprofit would continue to exist and retain control over the startup’s operations. Under the non-binding agreement, OpenAI’s nonprofit would obtain a stake in the company’s PBC worth upwards of $100 billion.

“Microsoft and OpenAI have signed a non-binding memorandum of understanding (MOU) for the next phase of our partnership,” th

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