spiantino

Founders could either get paid through secondary as well or through new employment agreements. Secondary is much more tax efficient, otherwise it doesn't really matter

i thought so at first, but I did some digging and changed my mind. it's possible the following is how it goes:

- secondary transaction with the preferred shareholders (VCs) at some price that implies a 20b valuation

- founders quit and get new employment agreements

- some cash is transferred to the company as a license fee

- no acquisition means no DOJ approval

in this scenario the headline can be $20b but the cash expense can be much lower, you have full flexibility to direct whatever cash or equity you want to founders vs the rest of the company, as an up front payment or as retention/salary, and the founders have no hinderance from working on anything they touched at previous company because of IP license.

I actually bet this is how it went down. This is becoming the standard in the industry and it's just awful for the future of SV

I don't think you can treat owners of the same shares differently in the way this is suggesting. The VC shareholders and the employee shareholders are probably on equal footing and getting the same price. VCs will own preferred but I doubt that is enough to windfall them at the expense of the common shareholders.

So if VCs are getting paid a certain share price, employees with vested stock almost certainly are getting the same price. And probably employees with vested options can either exercise now or will just get paid the net during the transaction.

Yes, the company is probably doomed so people staying there are not doing well, but they also just got paid a 3x premium on their vested equity.

Ventoy rocks

Starship + Ghostty has been an awesome (and fast) experience.

Kind of both? "While Ive and LoveFrom will remain independent, they will take over design for all of OpenAI, including its software. Altman said his first conversations with Ive weren’t about hardware, but rather about how to improve the interface of ChatGPT."

Stats + Hidden Bar + Brave are my first 3 downloads on any new Mac

seems too small. where do the passengers go?

Especially when you consider all the tax affordances related to owning real estate vs. equities.

Obvious grifty nonsense.

So exciting! We'd be walking amongst our GAI brethren this very day if it weren't for the computational limits of those pesky RNGs!

out of curiosity, why is this a "terms" and not a license? I'm used to reading and understanding the software as coming with a license to use it. Do the terms give us license to use this explicitly?

Maybe a dumb question, but why is there a Terms instead of a license? That feels a little flimsier as an open source offering

The EA community includes a lot of AI folks, as well as philanthropists like Dustin.

That doesn't mean this is this kind of conspiracy

I think a slitting mill is a different thing than the iron foundries described here