OpenAI, one of the world’s leading AI companies and creator of ChatGPT, has faced significant issues following their decision to oust CEO Sam Altman. Upon Altman and Brockman’s departure, Microsoft stepped in to hire them. However, it turns out that Microsoft’s move is not a done deal and depends on whether OpenAI wants Altman to return as CEO or remain at Microsoft. On top of that, investors are threatening to sue OpenAI over their decision to remove Sam Altman.
Up until recently, Sam Altman had been the CEO of OpenAI and the mastermind behind ChatGPT. Despite his critical role in the industry, he was fired and removed from his position as CEO due to the OpenAI board’s decision. Ilya Sutskever, the chief scientist, was one of the board members who contributed to this dismissal, leading to severe consequences.
Microsoft has not finalized a deal with Sam Altman, who may return to OpenAI
Hundreds of OpenAI employees have threatened to leave the company and join Microsoft if Altman and Brockman are not reinstated. While the pair were initially reported to have been hired by Microsoft, new information reveals that this is not set in stone. Altman could return to OpenAI if they change their stance on the matter. Microsoft CEO Satya Nadella acknowledged that Altman’s fate lies entirely in OpenAI’s hands, as they will decide whether he stays or returns.
Microsoft holds almost 50% of the AI company’s shares, while the two collaborate closely. OpenAI has been chaotic lately, with three different CEOs appointed in just three days. The current CEO is Emmett Shear, the co-founder of Twitch. Before him, the company reached out to former GitHub CEO Nat Friedman and Scale AI CEO Alex Wang. OpenAI’s board even offered the position to Anthropic’s CEO Dario Amodei, who declined the offer.
OpenAI Investors Planning to File a Lawsuit
It is essential to remember that Anthropic was sued by music record labels a few days ago, as they trained their AI with copyrighted song lyrics. Investors in OpenAI are reportedly planning to sue the board, according to Reuters. In addition to employee threats, investors are now gearing up for a lawsuit. These investors are concerned that they could lose hundreds of millions of dollars after investing in a company facing such problems. While Microsoft holds 49% of the company, the remaining investors own another 49% and only 2% belongs to the nonprofit OpenAI Nonprofit. Now, with this information revealed, OpenAI faces a second round, and the future of the renowned AI company depends on Sam Altman.
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