A.I. in the Workplace

 

OpenAI co-founder discloses nearly $30 billion stake, financial ties to Altman



Cerebras, which makes artificial intelligence chips in competition with Nvidia, hopes to raise as much as $3.5 billion in its looming IPO, according to an updated prospectus released on Monday. The company seeks to sell 28 million shares at a range of $115 to $125 each, giving it a potential market value of $26.6 billion. Once focused on hardware sales, Cerebras has shifted to cloud services powered by its own chips. Revenue climbed 76% year-over-year to top $510 million in the fourth quarter, and the company has struck significant deals with OpenAI and Amazon.
The details were ‌shared in court during questioning by a lawyer for Elon Musk, who co-founded OpenAI and is now suing the company on grounds that it improperly became a for-profit company, abandoned charitable goals and should turn back into a nonprofit.
Musk's team said that Brockman's independence was potentially compromised by financial incentives that led him to support Altman, the driver behind OpenAI's reinvention as a ​for-profit company. Brockman also disclosed in court that he holds stakes in two startups backed by Altman as well as a percentage of Altman's ​family fund.
The trial, in its second week in a California courtroom, could determine the future of OpenAI, which sparked a widespread ⁠craze over generative artificial intelligence after launching its ChatGPT chatbot in late 2022. Since then, OpenAI has raised well over $100 billion from investors to hire researchers, ​buy computing power and expand the company ahead of a potential trillion-dollar IPO.
Musk is seeking the ouster of Altman and Brockman from leadership as well as $150 billion in ​damages.
Brockman early in his testimony agreed that his stake in OpenAI was worth close to $30 billion, a figure not previously known. In 2017, Altman gave Brockman a stake in Altman's family office that was worth $10 million at the time. That same year, Brockman, Musk and other OpenAI executives discussed restructuring OpenAI as a for-profit so the organization could pay for the pricey ​computing power required to train AI systems.

2017 COMPENSATION ARRANGEMENT

Brockman said he did not discuss his compensation directly with Musk. Emails read out in court showed that Altman ​mentioned the arrangement during a separate conversation with Jared Birchall, Musk's head of family office, who relayed the details to Musk.
"One thing worth mentioning now is that he compensated Greg ‌on the ⁠side by giving him a percentage ownership of Sam's personal family office," Birchall wrote in the email, adding the deal could mean that "Greg is going to have a greater allegiance to Sam as a result of this arrangement." Musk forwarded Birchall's note to Brockman with two question marks.
When pressed on whether he was loyal to Altman, Brockman said, "I don't know I would say it quite like that."

STAKES IN ALTMAN-BACKED STARTUPS

On Monday, Brockman disclosed that he owned shares of AI chip startup Cerebras, including ​during various moments when OpenAI discussed ​buying the chipmaker. This year, OpenAI ⁠has said it will spend a significant amount of money to buy Cerebras chips.
Brockman also said he has a stake in Helion Energy, a fusion startup in which Altman has already invested hundreds of millions of dollars. In March, Altman stepped ​down from Helion's board because the two companies were looking to work together.
Musk, the world's richest person, alleges OpenAI, Altman ​and Brockman secured his $38 ⁠million in donations and personal help by promising to build a nonprofit that would prioritize safe development of AI, before pivoting to create a for-profit entity to enrich themselves. His charges include breach of charitable trust and unjust enrichment.
OpenAI has said that Musk, the CEO of Tesla (TSLA.O), opens new tab and SpaceX, is driven by a compulsion to control OpenAI ⁠and is bitter ​about the company's success after he left its board in 2018. It has also said Musk ​did not prioritize safety issues while with the company, and that he is trying to bolster his own AI company, SpaceX unit xAI, which lags OpenAI in user adoption.
GameStop CEO Ryan Cohen's unprecedented $56 billion takeover bid for the much larger ​eBay (EBAY.O), opens new tab drew skepticism from investors and analysts on Monday, with shares in the online retailer trading much below the offer price.
The nearly $12 billion video-game retailer, popular among meme-stock ‌traders, is attempting a half-cash, half-stock buyout of a company nearly four times its market value with just around $9 billion in cash and a debt load of $4.2 billion.
GameStop disclosed over the weekend it has already built a 5% stake in eBay and touted $20 billion in potential debt financing from TD Securities to convince shareholders of the deal.
eBay is worth four times more than Gamestop
eBay is worth four times more than Gamestop
Cohen argued he could replicate his cost-cutting playbook at GameStop to boost eBay's profitability, while tapping GameStop's around 1,600 U.S. stores into a physical ​network to make eBay a better competitor to Amazon (AMZN.O), opens new tab.
Still, eBay shares rose only about 6% to $110 in early trading, well short of the $125-per-share offer - a sign that investors were doubtful the ​deal would close. GameStop fell 2%.
EBay said it was reviewing the offer, including GameStop's ability to deliver a "binding, actionable proposal".
"We have the ability to issue stock ⁠in order to get the deal done," Cohen told CNBC in an interview.
Morgan Stanley analysts said the market needs more funding details and that an all-stock alternative could be a hard sell to ​investors given that the two companies have "fundamentally different" business models and few revenue or cost savings from combining.
Both eBay and GameStop sell collectibles such as trading cards but their mainstay businesses are different. While eBay ​earns fees by connecting buyers and sellers online without holding inventory, GameStop is a traditional retailer that buys goods wholesale and resells them through physical stores.
"The other primary option (to fund the deal) would be a leveraged buyout. Assuming at least a 20% premium, that would make this the largest leveraged buyout ever, surpassing the recently announced $55 billion Electronic Arts (EA.O), opens new tab transaction," Morgan Stanley analysts said.
Only a few deals in which a smaller company has bought a much larger one have ​succeeded. Paramount Skydance (PSKY.O), opens new tab agreed earlier this year to buy larger rival Warner Bros Discovery WBD.O, but the deal was bankrolled by Larry Ellison, one of the world's richest people with a net worth above $200 billion.

BID ​COULD PUT EBAY IN M&A SPOTLIGHT

Once a competitor to Amazon, eBay has repositioned itself in recent years as a destination for antiques, rare sneakers and high-end fashion rather than mainstream e-commerce.
That has helped power sales growth and boosted ‌its stock price, ⁠with shares up nearly 20% so far this year following a strong earnings report last week.
Analysts said even if the GameStop bid failed, it could draw interest from other potential acquirers.
Cohen became a central figure in the 2021 meme-stock frenzy when he took the helm of GameStop, triggering a surge of buying by retail investors speculating that he would transform the struggling gaming business.
Those retail investors cheered the GameStop bid in posts on forums such as Reddit, with some speculating that Cohen could emerge as CEO of a combined "GameStop Hathaway" or "GameShire Hathebay", a reference to building a massive online conglomerate of the kind forged by ​Warren Buffett at Berkshire Hathaway (BRKa.N), opens new tab.
Vanda Research, which tracks ​trading by independent retail investors, a category that ⁠includes meme-stock fans, said in a report on Monday that this group re-emerged as big buyers of both GameStop and eBay after the former formalized its bid. When GameStop shares faltered, this cohort stepped up their purchases, Vanda reported, turning Monday into the fifth-largest day of buying in the stock over the ​last 12 months.
"This is the type of catalyst that could spark a broader retail frenzy in both names," Vanda said in its report, adding ​that so far there were ⁠no signs of extreme meme-like buying.
Cohen, who built out online pet supplies retailer Chewy (CHWY.N), opens new tab, has said he was ready to go hostile in his eBay approach.
Buying eBay could help him make progress on the targets key to his compensation package worth roughly $35 billion that GameStop unveiled in January, including growing its market value to $100 billion.
"The Big Short" investor Michael Burry, who once likened Cohen to Warren Buffett, said in a Substack post that he ⁠had sold all ​of his shares in GameStop.
In a post earlier on Monday, Burry said the strategy behind the deal "could not be more ​pedestrian", adding that it would lead to more debt and shareholder dilution.
"Ryan's attempt to take over eBay cannot possess the actual honest and true intent to compete with Amazon. Rather clearly, the intention must be to dominate collectibles and used goods of all ​ages," he said.
EBay's revenue growth since the first quarter of 2024
EBay's revenue growth since the first quarter of 2024


Mark Zuckerberg is following a path paved by fellow billionaires Bill Gates and Warren Buffet: laundering his untold billions through a health research prestige project.

Called the Chan Zuckerberg Biohub — his wife Priscilla Chan, a pediatrician, is also involved — the foundation’s stated long-term mission is to “cure and prevent all disease through AI-powered biology, frontier research, and state-of-the-art technology.”

True to those enormous goals, the Biohub recently announced a $500 million investment into AI models of human cells, specifically, in order to “accelerate the cure and prevention of all diseases,” Euronews reported.

The half a billion dollars are said to go toward a five-year plan to create predictive models of human cells. Once those are built, they will supposedly help medical researchers and biologists understand how cells interact at the level of an entire organism. In theory, this would unlock incredible advancements in bioscience — perhaps even making the deadly diseases plaguing humanity a thing of the past, in the project’s outsize wording.

In brass tacks, $400 million of the funding will go to Biohub’s own AI development, while the rest will go to miscellaneous third-party researchers.

“To build artificial intelligence that can accurately represent the full complexity of biology and accelerate scientific research, we need orders of magnitude more data than exists today,” Biohub’s head of science Alex Rives said in an announcement. “We need new technologies to observe the cell, from the molecular to the tissue level, and in the context of health and disease.”

The new campaign comes as Zuckerberg’s Meta paid the lowest federal income tax rate on record, just a little over 3.5 percent of its total revenue in 2025, according to the Institute on Taxation and Economic Policy. That came even as the company had its best year ever, bringing in $79 billion in profits across 2025.

Given that the federal corporate tax rate is 21 percent, there’s a major discrepancy: $13.7 billion, to be exact. That’s an astonishing amount of money that could have gone to the type of medical research Zuckerberg is now throwing a small fraction of that at — or, heck, federal health insurance programs or the government’s Food and Nutrition Service, which provides nutrition support to millions of low-income Americans.

Colin Angle, the former iRobot CEO who helped oversee the Roomba vacuum's creation, has unveiled his new project: Familiar, a four-legged robot designed to foster emotional connections with users. Initially aimed at caregivers, it utilizes advanced AI to interpret human emotions and social cues. “I want to build a relationship between human and machine that is fundamentally different than the relationship between the Roomba and a customer,” Angle said. While the Familiar is still in its prototype phase, Angle hasn't disclosed potential availability or cost.

The Trump administration is contemplating an executive order that would create a working group focused on oversight of artificial intelligence models, a notable shift from its earlier hands-off policy, The New York Times reports, citing anonymous sources. The group would include government officials and tech executives, per the Times, and there is support for the idea of previewing AI models before release. The potential change — which the White House called "speculation" — is driven by concerns over cybersecurity and military applications, particularly following the introduction of Anthropic's powerful Mythos model.

Pinterest surged in extended trading after posting first-quarter results Monday that beat Wall Street expectations, boosted by strong advertiser spending and returns on its AI investments. Revenue jumped 18% to $1.01 billion, surpassing estimates of $966.25 million. The social media company also forecast second-quarter revenue above analysts’ expectations. Pinterest has lagged behind Facebook and Instagram, as AI and tariffs squeeze advertiser budgets, per Reuters. The results come months after the company laid off 15% of its workforce, and activist investor Elliott took a $1 billion stake in the firm.

Amazon announced Monday that it’s opening its supply chain to all businesses, officially positioning the company as a third-party logistics provider and competitor to air freight companies, parcel carriers and truckers. Through Amazon Supply Chain Services, any company can hire Amazon for services such as truck transportation, fulfillment and ocean and air shipping. Companies such as Lands’ End, Procter & Gamble and 3M are already using the service. UPS shares slid as much as 8.9% on the news, while FedEx shares dropped as much as 7.4%.

Anthropic on Monday announced the creation of a "new AI services company" in partnership with Blackstone, Hellman & Friedman and Goldman Sachs. The joint venture will help private-equity-backed businesses integrate Claude into their operations. Anthropic, Blackstone and Hellman & Friedman will each pitch in $300 million, while Goldman Sachs will contribute $150 million, The Wall Street Journal reports, citing anonymous sources. Several big-name alternative asset managers will also participate. Anthropic rival OpenAI has been mulling its own, similar joint venture as both companies look to grow their enterprise businesses.