Annual Report 2026
Part I
Item 1A. Risk Factors
An investment in the Project’s objective involves a high degree of risk. You should carefully consider the risks described below, together with all of the other information on this site. If any of the following risks actually occurs, our business, the global economy and the human species could be materially and adversely affected.
Risks Related to Our Products
Our products could cause human extinction.
In May 2023, the chief executives of OpenAI, Anthropic and Google DeepMind signed a public statement declaring: “Mitigating the risk of extinction from AI should be a global priority alongside other societal-scale risks such as pandemics and nuclear war.”24
We do not currently know how to control the systems we intend to build.
OpenAI has disclosed that superintelligence “could lead to the disempowerment of humanity or even human extinction,” and that “[c]urrently, we don’t have a solution for steering or controlling a potentially superintelligent AI, and preventing it from going rogue.”25
Our leadership’s own estimates of catastrophic outcomes are material.
The chief executive of Anthropic has said: “I think there’s a 25% chance that things go really, really badly.”26 The founder of xAI has said there is “some chance that it will end humanity,” and put that chance at “10% or 20% or something like that.”27
Society may not be prepared for our products.
“Humanity is about to be handed almost unimaginable power, and it is deeply unclear whether our social, political, and technological systems possess the maturity to wield it.”28
Risks Related to Our Objective
If we succeed, demand for human labor may decline substantially.
See “Outlook.”
Long-term results may differ materially from near-term results.
In 2015, months before co-founding OpenAI, Sam Altman said that AI “will probably, most likely, sort of lead to the end of the world. But in the meantime, there will be great companies created with serious machine learning.”29
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