OpenAI CEO Sam Altman has transferred formal control of the company's eponymous corporate venture fund to Ian Cathaway, OpenAI confirmed to TechCrunch.
The Open AI Startup Fund, launched in 2021, was initially established with Altman as the designated manager. The deal could have been a major problem for the company had he not returned as Open AI's CEO after being briefly ousted in November. The fund's original GP structure was intended as a temporary arrangement, and Mr. Altman had no personal investment or financial interest, the spokesperson explained.
This news was previously reported by Axios.
Cathaway joined OpenAI in 2021 and played a key role in managing startup funds, leading investments in Ambience Healthcare, Cursor, Harvey, and Speak. According to his LinkedIn profile, he was previously an investor in Haystack.
The fund had $175 million in commitments last year and currently has total net assets of $325 million, according to SEC filings. Investors also included Microsoft and other outside backers. The division invests in early-stage AI-driven companies in areas such as healthcare, law and education.
The Startup Fund has backed at least 16 other startups, according to PitchBook data. These include collaborative editing platform Descript, which was valued at $553 million last year, and Ghost Autonomy, which develops self-driving software.