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Home News

OpenAI Reinstates Sam Altman to Board

March 8, 2024
Reading Time: 3 mins read
in News
OpenAI Reinstates Sam Altman to Board

OpenAI has reinstated CEO Sam Altman to its board of directors, concluding a leadership crisis that occurred in late 2023. Altman was initially fired in mid-November, leading to a tumultuous week during which most employees threatened to quit. A subsequent external investigation by law firm WilmerHale found that Altman’s behavior did not merit dismissal but highlighted a breakdown in trust between him and the prior board. The newly reformed board unanimously rehired Altman on November 21, aiming to address the crisis. Altman’s return was part of broader efforts to strengthen internal governance, including the establishment of a whistleblower hotline and a new board committee focused on the core mission of OpenAI.

The investigation results were published as OpenAI faces scrutiny over Microsoft’s significant influence on the company. Microsoft had announced its intention to hire Altman to lead a research lab after his initial ouster. While Altman has been restored to his previous position, the incident has exposed Microsoft’s substantial investment of $13 billion in OpenAI and its integration of ChatGPT large language model functions into popular products like the Office suite. Competition authorities in the UK, EU, and the US are reviewing the extent of Microsoft’s connections with OpenAI. The current valuation of OpenAI is reported to be $80 billion following a funding round in February. Despite Altman’s return, internal disagreements and accusations regarding a toxic work environment may continue to impact the company’s reputation.

Reference:
  • OpenAI’s Leadership Reckoning: Altman’s Return Amidst Governance Overhaul
Tags: CEO Sam AltmanCyber NewsCyber News 2024Cyber threatsCybersecurityMarch 2024OpenAI
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