> The PPUs function similarly to Profit Interest Units (PIUs), granting employees a share in the company's profits rather than traditional equity. These units vest over four years, providing a long-term incentive for employees to contribute to OpenAI's success. A distinctive feature of OpenAI's PPUs is the growth cap; specifically, the PPUs are capped at a 10x growth of their original value. This means if an employee is given PPUs valued at $2 million, the maximum they can sell them for would be $20 million, ensuring that the rewards are substantial yet aligned with OpenAI's broader mission of equitable benefit .
This valuation isn't exactly crazy if you ask me. OpenAI is valued at 30B about an year ago. Now 3x. If you bought nvidia stock last year this time, it also gets 3x.