OpenAI requires NDA for employees to keep equity

Re:OpenAI requires NDA for employees to keep equity by nurple on Saturday May 18, 2024 @03:26AM (#40397091)

The thing is that this is a private company, so there is no public market to provide liquidity. The company can make itself the sole source of liquidity, at its option, by placing sell restrictions on the grants. Toe the line, or you will find you never get to participate in a liquidity event.

There's more info on how SpaceX uses a scheme like this[0] to force compliance, and seeing as Musk had a hand in creating both orgs, they're bound to be similar.

[0] https://techcrunch.com/2024/03/15/spacex-employee-stock-sale...

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Re:OpenAI requires NDA for employees to keep equity by tdumitrescu on Saturday May 18, 2024 @02:33PM (#40400990)

Whoa. That article says that SpaceX does tender offers twice a year?! That's so much better than 99% of private companies, it makes it almost as liquid for employees as a public company.

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Re:OpenAI requires NDA for employees to keep equity by nurple on Saturday May 25, 2024 @07:04PM (#40478487)

Which in a real way makes the threat of being left out of liquidity rounds that much more powerful a tool for keeping people looking forward to an actual windfall in their lane.

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