OpenAI is an NGO…?
Most readers are aware they were a research and advocacy organization that became (in the sense that public benefit tax-free nonprofit groups and charitable foundations normally have no possibility of granting anyone equity ownership nor exclusive rights to their production) a corporation by creating one; but some of the board members are implied by the parent comment to be from NGO-type backgrounds.
From the non-profit's perspective, it sounds pretty reasonable to self-police and ensure there aren't any rogue parts of the organization that are going off and working at odds with the overall non-profit's formal aims. It's always been weird that the Open-AI LLC seemed to be so commercially focused even when that might conflict with it's sole controller's interests; notably the LLC very explicitly warned investors that the NGO's mission took precedence over profit.
Many NGOs run limited liability companies and for-profit businesses as part of their operations, that’s in no way unique for OpenAI. Girl Scout cookies are an example.
The CEO just works for the organization and the board is their boss.
You’re referencing a founder situation where the CEO is also a founder who also has equity and thus the board also reports to them.
This isn’t that. Altman didn’t own anything, it’s not his company, it’s a non-profit. He just works there. He got fired.