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Sam Altman agrees to return to OpenAI as Microsoft reportedly aims to bolster influence by securing seat on new board

November 24, 2023
in Technology
Sam Altman agrees to return to OpenAI as Microsoft reportedly aims to bolster influence by securing seat on new board
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Initial OpenAI board will include three members including former co-CEO of Salesforce and former U.S. Treasury Secretary. (Source:OpenAI-edited)Initial OpenAI board will include three members including former co-CEO of Salesforce and former U.S. Treasury Secretary. (Source:OpenAI-edited)

OpenAI and Sam Altman have come to an agreement that will see the ex-CEO return to his position alongside a new preliminary board. The agreement comes after days of uncertainty and turmoil which, at one point, came close to destroying the company when about 95% of the workforce threatened to quit if Sam Altman wasn’t reinstated.

We reported a few days ago that OpenAI, the company behind ChatGPT, was on the verge of failing after more than 730 employees threatened to quit over the controversial ouster of ex-CEO and co-founder Sam Altman. In our closing remarks, we reasoned that, since practically the entire workforce was willing to follow Sam Altman thus bringing OpenAI to its knees, it was only a matter of time before we would see Sam Altman’s reinstatement as CEO and big changes to the OpenAI board.

This is exactly what has happened as OpenAI announced on X that Sam Altman has agreed to return as CEO of OpenAI and the board of directors will be seeing some major changes. Greg Brockman, the former Chairman of the board and President of OpenAI, will also be returning to the company.

Per OpenAI, the company “reached an agreement in principle for Sam Altman to return to OpenAI as CEO with a new initial board”. The new board includes Bret Taylor (chairman of the board), Larry Summers, and Adam D’Angelo. Changes to the OpenAI board were one of Sam Altman’s reported conditions for return, so it is not a surprise that, save Adam D’Angelo, the board now consists of new faces.

Furthermore, The Verge reports that the job of the initial board is to recruit up to 9 new board members. Interestingly, Sam Altman and Microsoft also want a seat at the table, something many people previously thought improbable because the threat of a possible regulatory action against Redmond.

OpenAI power struggle allegedly still not over

Even after Sam Altman has agreed to return to OpenAI as CEO and the appointment of a new preliminary board of directors, there could still be a power struggle at Open. The Verge alleges that, according to people close to the matter, the power struggle “at the center” of this turmoil is still ongoing.

However, except for Sam Altman, we don’t know the names of the characters involved in this power struggle. That said, if one had to guess, the list could very well include Ilya Sutskever, the chief scientist at OpenAI, who played a major role in kicking Sam Altman out of the company initially. Ilya later backpedaled and publicly admitted to regretting his decision.

Microsoft’s role and potential increase of influence over OpenAI

Microsoft, OpenAI’s biggest investor with a 49% stake, was a key player in the drama that unfolded over the past few days. After Sam Altman’s ouster, reports came out that Microsoft was playing a role in brokering a deal between OpenAI and Altman. Redmond’s CEO Satya Nadella later announced on X that Sam Altman would be joining Microsoft to lead an AI research team.

As reported by The Verge, Microsoft is now vying for a seat on the OpenAI board. Per Reuters, analysts are predicting the deal to go in Altman and Microsoft’s favor with Redmond, whose shares reportedly gained 1% in premarket trading in the US, likely to gain even more influence over the company.

Fawad Murtaza

Fawad Murtaza – Senior Tech Writer – 621 articles published on Notebookcheck since 2021

I am Fawad, a fellow tech nerd. As a tech junkie, my relationship with technology goes back to my childhood years. Getting my first Intel Pentium 4 PC was the start of journey that would eventually bring me to Notebookcheck. Finally, I have been writing for tech media since 2018. From small no-name projects to industry leaders, I have worked with a number of tech publications.

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Copyright for syndicated content belongs to the linked Source : NotebookCheck – https://www.notebookcheck.net/Sam-Altman-agrees-to-return-to-OpenAI-as-Microsoft-reportedly-aims-to-bolster-influence-by-securing-seat-on-new-board.771401.0.html

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