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OpenAI reinstates Sam Altman as CEO and revamps board with new leadership

Published 23/11/2023, 11:20 am
© Reuters.  OpenAI reinstates Sam Altman as CEO and revamps board with new leadership
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In a remarkable reversal, Sam Altman has been reinstated as CEO of OpenAI, the pioneering artificial intelligence firm known for its creation ChatGPT.

This unexpected turn of events follows Altman's sudden dismissal from the company.

OpenAI concurrently announced a significant reshuffle of its board, appointing Bret Taylor, previously co-CEO of Salesforce, as its new chair.

The revamped board also includes Larry Summers, former US Treasury secretary, and Adam D'Angelo, a key figure from the original board that decided to remove Altman.

New chapter for OpenAI

The reinstatement of Altman marks a potential new chapter for OpenAI, known for juggling the ethical implications of AI with its commercial potential.

Speaking about his return, Altman said on the X social media platform, "I'm looking forward to returning to OpenAI."

This development raises questions regarding the initial reasons for Altman's departure, especially given the limited explanation provided by the previous board other than citing his lack of candor and the need to uphold OpenAI's humanitarian mission.

Favourable for Altman and Microsoft (NASDAQ:MSFT)

This leadership shake-up is perceived as particularly favourable for Altman and Microsoft, a significant investor in OpenAI.

Microsoft's CEO Satya Nadella expressed support for the new direction, asserting on X, "We believe this is a first essential step on a path to more stable, well-informed, and effective governance."

The leadership turmoil at OpenAI stirred concerns among investors, especially considering the company's recent valuation, which exceeded $80 billion.

Altman's swift return to the helm has been compared to Steve Jobs' historic comeback to Apple (NASDAQ:AAPL). It signifies a potentially more aggressive, profit-oriented approach for the company but also suggests an increase in risk-taking.

"Stronger and more unified"

The situation was further complicated when staff at OpenAI threatened to leave and join a new venture spearheaded by Microsoft, underlining the immense leverage and resources Microsoft brings to the AI field.

Emmett Shear, who briefly served as OpenAI's interim CEO, described his role in stabilising the situation on X: "This was the pathway that maximized safety alongside doing right by all stakeholders involved."

Greg Brockman, president of OpenAI, celebrated the resolution of the crisis with a late Tuesday night staff selfie, expressing optimism for the future: "We will come back stronger & more unified than ever."

This sentiment reflects the company's determination to move forward amidst the recent upheaval.

Read more on Proactive Investors AU

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