OpenAI employees can finally donate equity to charity after years of waiting

OpenAI

After years of frustration, OpenAI employees now have the chance to donate their equity to charity. The company recently sent out an email letting current and former staff with eligible shares know they can participate, according to a memo seen by The Verge.

For some employees, this could mean donating millions of dollars. Those who got six-figure equity deals in 2019, for example, might be able to give away a significant portion of their shares. But there’s a catch: the window to decide on donation amounts and details is very short. Many employees are finding it tricky to act quickly, especially since OpenAI advises consulting a tax or financial advisor before finalizing anything.

Sources familiar with the situation say the program is about 18 months overdue. Charitable equity donations have been used in the past to attract talent, and in the heated competition for AI professionals, some rivals, like Anthropic, even offer equity donation matching. The delay has left many employees frustrated.

The hold-up comes amid broader concerns over OpenAI’s control of equity. In the past, some employees worried about potential clawbacks of vested shares if they violated non-disparagement agreements. Slack threads and all-hands meetings often featured staff expressing their frustration over not being able to donate shares. Past donation rounds happened in 2021 and 2022, but the gap since then has left employees eager for a new chance.

The charitable donation option was promised after employees sold around $1.5 billion in shares to SoftBank last year, but it was delayed indefinitely. Now, with the company completing a major funding round and finalizing its for-profit restructuring last month, restrictions are easing.

OpenAI shares have also risen recently. Units that sold for about $430 each in a recent tender offer are now valued at roughly $483, partly because the nonprofit side of the company no longer claims as much of the potential future profits.

For employees, this move finally gives them a way to turn their equity into meaningful charitable contributions. It’s a small but important win for staff who have waited patiently for the chance to give back while being part of one of the most high-profile AI companies in the world.