OpenAI, the parent company of ChatGPT, has completed its transition into a for-profit firm.

The company, which began life as a non-profit in 2015, will change to a public benefit corporation – an entity that expresses commitment to bettering society.

It has also reorganised its ownership structure and signed a new agreement with long-time backer Microsoft giving it a 27% stake.

OpenAI has been valued at $500bn under the terms of the deal.