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OpenAI says its nonprofit board will remain in control of its for-profit business

ChatGPT maker OpenAI said Monday that its nonprofit will remain in control over its for-profit business, as the startup moves forward with plans to change its organizational structure.

The move comes after a coalition of California nonprofits, foundations and labor groups called on the state’s attorney general to investigate OpenAI’s decision to transition its nonprofit’s commercial subsidiary to a for-profit public benefit corporation. The coalition raised concerns about how OpenAI’s charitable assets would be protected.

“We made the decision for the nonprofit to stay in control after hearing from civic leaders and having discussions with the offices of the Attorneys General of California and Delaware,” Chief Executive Sam Altman wrote in a letter to OpenAI employees.

OpenAI started in 2015 as a nonprofit research lab but later found success developing products and services like ChatGPT and text-to-video tool Sora. As the competition among AI companies heated up, OpenAI said it needed to change its structure to raise more money. The startup recently raised $40 billion, bringing its valuation to $300 billion, but part of that funding could change if it does not shift its corporate structure by the end of the year.

OpenAI received pushback on its transition plans from Meta and some philanthropic leaders, including the San Francisco Foundation, who raised concerns with the state attorney general’s office. The company also was sued by its co-founder Elon Musk.

On Monday, San Francisco Foundation said it continues to hold concerns about OpenAI’s transition.

“While we are glad to see that OpenAI is responding to the questions that have been raised about their proposed restructuring, its announcement today doesn’t address the fundamental problem at issue: the independence from profit-seeking of the OpenAI nonprofit,” Fred Blackwell, CEO of the San Francisco Foundation, said in a statement.

Last month, OpenAI named nonprofit commissioners, including labor leader Dolores Huerta, to help its nonprofit amplify its philanthropic efforts.

OpenAI said it will advance its public benefit corporation plan in continued conversation with its investor Microsoft, civic leaders, offices of the attorneys general in California and Delaware and the nonprofit commissioners.

The announcement provides clarity to the company’s original plans that it outlined in December, in which it said the public benefit corporation would “run and control OpenAI’s operations and business.”

On Monday, Altman said that the nonprofit board will become a “big shareholder” in the public benefit corporation “in an amount supported by independent financial advisors, giving the nonprofit resources to support programs so AI can benefit many different communities, consistent with the mission.”

Altman expressed commitment to OpenAI’s nonprofit continuing to control the for-profit business as it does today. “That will not change,” he wrote.

Other AI startups that are structured as public benefit corporations include Anthropic and Musk’s xAI.

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Trump’s call to reopen Alcatraz falls flat with tourists, who ask: Why and how?

The exhibits on Alcatraz Island, the infamous federal prison that decades ago was shuttered and preserved as a national park site and tourist attraction, invite visitors to imagine what it was like to be a guard or an inmate confined to the lonesome, foggy rock in the middle of San Francisco Bay.

But on Monday, a day after President Trump posted on social media that he wants to reopen the nearly century-old prison as a “substantially enlarged and rebuilt ALCATRAZ, to house America’s most ruthless and violent Offenders,” many tourists were imagining a very different role: what it would be like to be the construction manager who might actually have to figure out how to make that happen.

“I’m all for what [Trump] is doing, but this doesn’t make sense,” said Beverly Klir, 63, an ardent Trump supporter who was visiting from Chicago. “I believe Gitmo [the prison at Guantanamo Bay] may be better. That’s where they all belong. They don’t belong here.”

She and her husband were standing amid a riot of pink flowers on the island’s craggy bluffs, looking out at the Golden Gate Bridge as a pair of Canada geese and three fuzzy ducklings waddled by. Behind them loomed the prison, its fortress-like facade menacing in appearance, but also a testament to age and weather, with crumbling stucco, deteriorated masonry and leaking joints.

Higher up on the island, outside the three-story cellhouse where some of the nation’s most incorrigible prisoners were once locked away in primitive cells, 10-year-old Melody Garcia, visiting with family from Concord, appeared equally perplexed. “Most of Alcatraz is broken down and stuff,” she said.

Still, within hours of Trump’s pronouncement, the Bureau of Prisons released a statement saying it was already on the job.

“The Bureau of Prisons will vigorously pursue all avenues to support and implement the President’s agenda,” said bureau Director William K. Marshall III. “I have ordered an immediate assessment to determine our needs and the next steps. USP Alcatraz has a rich history. We look forward to restoring this powerful symbol of law, order, and justice.”

Many California officials, meanwhile, responded with a range of ridicule and concern. A spokesperson for Gov. Gavin Newsom dismissed the pronouncement as a ploy designed to distract voters from Trump’s actions as president. State Sen. Scott Wiener (D-San Francisco) called it “unhinged.” But he also cautioned that “when Donald Trump says something, he means it,” and speculated that Trump may want to “open a gulag here in the U.S.”

The U.S. government’s presence on Alcatraz began in the 1850s, with construction of a fort bristling with cannons to defend San Francisco from hostile ships.

Soon after, U.S. officials also began using it as a military prison. During the Civil War, the crew of a Confederate ship, along with Union soldiers convicted of rape, murder, desertion and other offenses, were imprisoned there. The U.S. Army also locked up Hope, Apache and Modoc Indians there and, later, conscientious objectors to World War I.

In 1934, Alcatraz opened as an official federal prison for men who had made escape attempts from other federal prisons, or otherwise misbehaved. Among its notable inmates were Al Capone and George “Machine Gun” Kelly.

Known as “the Rock,” the prison, which had capacity for 336 men, earned a place in popular culture as an island of remote despair. “Everybody wants to be an individual,” said former inmate James Quillen, who served 10 years there, from 1942 to 1952. “You want to be human. And you weren’t at ‘the Rock.’”

In addition to being formidable, the prison was fearsomely expensive to maintain and operate. So expensive, in fact, that in 1963, then-Atty. Gen. Robert F. Kennedy ordered it closed.

John Martini, an Alcatraz historian, said the prison was closed in part because it was built with flawed construction methods and was decaying, and it “would be such a money pit to bring it up to standards … that it was easier to build a new penitentiary.”

Six years later, the island acquired a prominent place in Native American history when a group of Native American activists landed on the island, declaring they were taking it in the name of “Indians of All Tribes.” The occupation lasted 19 months, and helped awaken the nation to the concerns of Indigenous Americans.

When federal agents moved in to remove the last occupiers in 1971, officials had plans to bulldoze the entire thing. But in 1972, Congress created the Golden Gate National Recreation Area, and the island instead became one of San Francisco’s most beloved attractions. More than 1.4 million people visit each year, walking through the dank cell blocks and taking in exhibits on the Native American occupation.

In calling for Alcatraz to be reopened, Trump said its restoration would “serve as a symbol of law, order, and justice.”

But the Golden Gate National Parks Conservancy, a nonprofit that helps preserve and support operations at Alcatraz, issued a statement Monday saying the prison’s stature as a historic landmark and educational destination already serves an important role.

“Alcatraz hasn’t been a working prison for over 60 years,” the organization said in its statement. “Today, it’s a powerful symbol — a National Historic Landmark preserved for all time, a transformative national park experience and global site of reflection. … This is where history speaks — and where we learn from the past to shape a better future. “

John Kostelnik, western regional vice president of the Council of Prison Locals 33, said the idea of reopening Alcatraz was not only an “irresponsible” use of federal money but also a slap in the face to prison guards, who have long complained about low wages.

“It just seems very hypocritical that they came in and said they’re going to make government more efficient and DOGE and all that stuff,” Kostelnik said, using the acronym for Elon Musk’s cost-cutting team, “and now they’re saying they’re gonna throw hundreds of millions of dollars at a symbol.”

In December, the Bureau of Prisons said it was closing its troubled federal prison in Dublin, Calif., about 30 miles east of San Francisco, as well as five minimum-security prison camps in states from Florida to Colorado. The bureau said in a document obtained by the Associated Press that it was closing the facilities to address “significant challenges, including a critical staffing shortage, crumbling infrastructure and limited budgetary resources.”

San Francisco Mayor Daniel Lurie’s office directed inquiries about the Alcatraz proposal to the National Park Service, which did not immediately respond to a request for comment.

Tourists roaming the island Monday seemed preoccupied with two questions: How and why?

“It’s not ready. It is in no way, shape or form ready,” said Daniel Mulvad, 24, who lives in San Francisco and was visiting with guests from out of town. He noted that the costs of renovating the structure would be astronomical and seemed senseless given that, as a tourist attraction, Alcatraz appeared to be generating a great deal of revenue through ticket sales and merchandise.

“You’d have to really … rewire,” said Alyssa Sibley, 26, of Sacramento, as she stood in the old shower room, staring at the crude and rusting bathroom fixtures.

Tumidei Valentin, 34, a French psychologist vacationing in California, decried it as a “terrible idea.” “Every day he has new ideas,” Valentin said of Trump, most of them “to make a buzz” and get attention.

Kristin Nichols, 60, of Palm Springs, who was visiting with family, said that as someone who is part Chickasaw she was particularly moved by the exhibits about the Native American occupation.

“The amount of money it would take to do this…” she said. “I would question the purpose.”

She added: “It’s a historic place, and if they turn it back into a prison, it’s going to ruin all the history.”

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Overhaul the LAPD, in this economy? Questions surround chief’s plans

When Jim McDonnell took over as Los Angeles police chief late last year, he promised to take stock of the department within 90 days and start overhauling what needed fixing.

Nearly six months later, seemingly little has changed and there are growing questions about when — or even if — McDonnell will shake things up.

Complicating the chief’s situation is the possibility of losing more than 400 civilian workers to layoffs as city leaders scramble to close a $1-billion budget gap.

McDonnell addressed the delays in his reorganization plan during a City Council committee hearing Wednesday, saying that his original three-month timetable was set back by the January wildfires.

Now, the chief said, the challenges ahead are clear.

“I have an opportunity as we move forward with our senior leadership team to reevaluate based on what the budget ends up looking like,” he said, “and then to be able to streamline our operations to support our core functions, which is getting out there and answering radio calls for service.”

Council members are trying to figure out how to save positions on the chopping block, including by reducing overtime funds or even potentially slowing down the hiring of new police recruits.

Some have expressed concerns that patrol officers would be taken out of the field to backfill certain desk jobs. Roughly 130 positions — including crime scene photographers and analysts who process fingerprints and ballistic evidence — are not easily replaced, McDonnell warned.

“We know cops aren’t going to turn a wrench, and we need somebody to fix” broken-down squad cars, Councilmember Tim McOsker said.

Another council member, Eunisses Hernandez, requested more information from the department about whether the millions spent on its helicopter fleet was justified given the city’s financial straits.

Among other changes, McDonnell said he has considered updating the department’s so-called “basic car” plan, which divided the city into small geographical areas that are patrolled by a senior lead officer who is responsible for building ties with community representatives. The city has grown since the program was last studied, he said.

McDonnell on Wednesday repeated his promise to announce a departmental realignment after the completion of a study by Rand Corp., a global policy think tank brought in last year to conduct a top-down review. McDonnell told council members that the department had received some preliminary recommendations from the study, with a final version expected in the coming weeks.

The chief has also convened numerous working groups, which he has said will “reevaluate the way we’ve been doing business versus what we may look to do moving forward.”

Given the “very difficult financial times,” he said, it would be “very questionable” to plan for a future with “major increases” to the department’s size.

Connie Rice, a longtime civil rights attorney who has both sued the LAPD and advised past chiefs on reforms, said McDonnell shouldn’t have to wait for high-priced consultants to tell him what’s wrong with the department.

Among the challenges, she said, are the department’s “hollowed out” community policing program and long-standing issues with racism. She noted McDonnell has said little about how he intends to address allegations about a group of recruitment officers who were secretly recorded making derogatory comments about Black police applicants, women and LGBTQ+ co-workers.

“The LAPD is in a world of trouble, and the xenophobic comments are just the start,” Rice said.

Mario Munoz, a retired LAPD internal affairs lieutenant who now runs a firm that advocates on behalf of whistleblowers, said he has heard concerns within the department about McDonnell’s inaction.

“I don’t think [police officials] know what he’s looking for, because he hasn’t made his expectations clear,” Munoz said, adding that his sense is that even after the Rand audit there will not be major changes or “true reform of the system.”

With crime numbers continuing to trend downward, McDonnell has received public support from Mayor Karen Bass and the Los Angeles Police Protective League, the union that represents rank-and-file officers.

But a faction in the Command Officers Assn., which represents all officials above the rank of lieutenant, has pushed for the union to call a no-confidence vote against McDonnell, citing growing discontent over his performance so far.

Some of McDonnell’s backers point out that the chief took a similarly deliberative approach during his last two leadership stints, as chief of police in Long Beach and as Los Angeles County sheriff. Given the challenge of taking over a department as large and complex as the LAPD, it only makes sense that McDonnell should take his time, they say.

In a letter to Councilmember Katy Yaroslavsky ahead of his Wednesday presentation to the budget committee, McDonnell argued against eliminating hundreds of jobs and said that the staffing reductions could lead to the closure of three city jails.

“Tasks previously performed by civilian professionals may require staffing by sworn personnel, potentially impacting the number of officers that are available to deploy for protection and service to our communities,” the chief’s letter said.

Amplifying the uncertainty, McDonnell has yet to fill several captain and several commander vacancies, and he has not elevated any candidates from the lieutenant’s promotional list.

But he has made some personnel changes, including moving Deputy Chief Emada Tingirides from her longtime home base in South Bureau to Central Bureau. She was replaced by Deputy Chief Ruby Flores. He also ousted the civilian head of the department’s constitutional policing office, who had drawn the wrath of the police union.

Bernard Parks, a former chief who later served on the City Council, said McDonnell is in a tough spot amid the budget crunch and competing pressures from inside and outside the department.

Parks said he laid out his reorganization plan within weeks of being appointed chief in 1997, but he didn’t fault McDonnell for treading carefully.

“The key is if you have a plan, you should share it as best you can in its totality: We’re at Point A, and we’re trying to get to Point Z,” Parks said. “Stops and starts are the worst thing you can do with an organization because people lose interest quickly.”

Others have similarly preached patience for McDonnell.

Councilmember John Lee, who chairs the council’s public safety committee, said in an interview last month that the chief had privately shared some plans for the department, which centered on improving recruitment and retention of officers.

Lee said it’s “very natural” for some senior officials to worry about their fate under a new chief.

“There’s a lot of different concerns from everybody — it could be a captain whose commuting might change or somebody who’s established really good relationships with a community,” Lee said.

McDonnell may not be moving as quickly as some would like, Lee added, but “we have to put a little trust in him.”

Times staff writer David Zahniser contributed to this report.

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Jack Fincham sparks concern again with cryptic message amid Chloe Brockett split

JACK Fincham has sparked concern yet again with another cryptic message shared on social media,

The 33-year-old reality star has sparked fears recently after sharing a slew of strange posts on social media.

Serenity Prayer.

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Jack Fincham shared a very cryptic post about GodCredit: Instagram
Jack Fincham leaving Basildon Crown Court.

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The former Love Island star has sparked concernCredit: PA
Jack Fincham and Chloe Brockett embracing.

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Jack Fincham and Chloe Brockett recently split upCredit: Instagram

Taking to Instagram today, Jack posted a cryptic quote about God.

The quote read: “God, grant me the serenity to accept the things I cannot change.

“Courage to change the things I can.

“And wisdom to know the difference.”

Read More about Jack Fincham

Hours later, Jack then uploaded a snap of the shop front of Abbey Grill – a food takeaway in Abbey Wood.

Earlier this week, Jack sparked concern again when he shared another cryptic quote – but this time on his actual page.

“The most dangerous people are those who have nothing to lose,” the quote ready.

The Sun revealed on April 10 that Jack had broken up with The Only Way Is Essex Star star Chloe Brockett, who he had been living with for the past year, for the SIXTH time.

A source told The Sun: “Jack has been through a lot but has been doing so well lately.

“Friends are worried the latest breakup with his on off girlfriend has hit him hard and could send him spiralling.

Jack Fincham breaks silence on dangerous dog conviction and emotional toll after Elvis attacked runner

“It seems like things are definitely over between him and Chloe this time, there’s no going back.

“While Chloe is using Instagram to post photos of her having fun nights out at the boxing, cheering on the London marathon runners and getting her hair done, Jack has been posting quotes that are out of character.

“Everyone is worried for him and just want him to stay healthy and on track.”

Then, over the past couple of weeks, Jack’s “frantic” posts have sparked concern.

Love Island star Jack Fincham’s legal battles

Jack has had numerous run-ins with the law since 2021 when he was arrested for drug-driving.

In 2023 he was convicted of the same charge and said it was the wake-up call he needed.

Jack told how he was at rock bottom when he was pulled over by cops for a second time.

Later that year he was handed a 36-month driving ban and given 60 hours’ community service.

Jack volunteered in a charity shop as part of his sentence.

However, in February 2024 he was pulled over again and charged with driving after taking cocaine.

He also faced charges of careless driving, having no insurance and using false number plates.

Jack was spared jail after speeding his £50,000 car down the hard shoulder of the A2 in Kent.

 In January, 2025 he was jailed for six weeks after he admitted being in charge of a dangerously out-of-control dog.

Cane Corso Elvis first attacked runner Robert in Swanley, Kent, in September 2022.

He is then said to have mauled an unnamed woman in Grays, Essex, in June 2024 but no harm was done.

Jack was freed on bail while he appealed the sentence which he successfully overturned.

In March 2024, he successfully overturned the sentence and will no longer have to serve time in prison – although a further three months was added to his existing suspended sentence

The former Love Island star was trying to contact a friend in a post, and also shared a rant about his family “falling apart”.

He also posted an old picture on his social media of him with Chloe – despite them not being together.

Jack – who has battled drug addiction issues – recently dodged jail after overturning a prison sentence on appeal.

Chloe Brockett in white lace lingerie.

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Chloe and Jack have split up six timesCredit: Instagram
Jack Fincham at the Flackstock Festival.

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Jack shot to fame on Love IslandCredit: Getty

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