OpenAI this week offered every startup in the current Y Combinator batch $2 million in OpenAI API tokens — not cash. Tokens are credits to use OpenAI's own API. The offer covers 169 startups, for a total commitment of approximately $338 million in credits.
In exchange, each startup signs an uncapped SAFE — no valuation cap, converting to equity at Series A. The lower the startup's valuation at its next raise, the more of it OpenAI owns.
Investor Jason Calacanis warned founders to "be careful," noting "there's a non-zero chance that OpenAI will study exactly what your startup is doing, copy your idea and put your app into their free offering." YC partner Tyler Bosmeny called it a "mic drop moment." These are not the same read.
Sam Altman is offering YC startups $2 million they can only spend at Sam Altman's store, in exchange for equity in whatever they build with it.