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SAM ALTMAN JOINS MICROSOFT HOURS AFTER OPENAI DENIED HIS RETURN AS CEO


OPENAI, THE INFLUENTIAL MAKER OF CHATGPT, TAPPED TWITCH CO-FOUNDER EMMETT SHEAR
AS INTERIM CEO AFTER A CHAOTIC WEEKEND KICKED OFF BY ALTMAN’S ABRUPT OUSTER ON
FRIDAY.

By Pranshu Verma
, 
Nitasha Tiku
and 
Gerrit De Vynck
Updated November 20, 2023 at 9:44 a.m. EST|Published November 20, 2023 at 12:32
a.m. EST
Sam Altman forced out of OpenAI
1:28

OpenAI co-founder Sam Altman will join Microsoft after the board of his former
company fired him. (Video: Reuters)

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Sam Altman, the face of the artificial intelligence revolution, is heading to
Microsoft to lead a new advanced artificial intelligence research team, the
company said early Monday, hours after talks collapsed over Altman’s potential
return to OpenAI, which ousted him on Friday.


Tech is not your friend. We are. Sign up for The Tech Friend
newsletter.ArrowRight


In the latest twist in one of the most tumultuous board room dramas in Silicon
Valley history, Microsoft CEO Satya Nadella tweeted that the company had hired
both Altman and Greg Brockman, the former president of OpenAI who quit in
solidarity with Altman.



“We look forward to moving quickly to provide them with the resources needed for
their success,” Nadella said in the post. Microsoft is a major investor in
OpenAI.

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Meanwhile, Emmett Shear, the co-founder of Twitch, a popular video game
streaming platform acquired by Amazon in 2014, tweeted Monday that he will
become OpenAI’s interim CEO, replacing Mira Murati, who was named to that role
Friday in a management reshuffle.

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“I took this job because I believe that OpenAI is one of the most important
companies currently in existence,” Shear said in a post on X. “When the board
shared the situation and asked me to take the role, I did not make the decision
lightly. Ultimately I felt that I had a duty to help if I could.”

He add that the board did not remove Altman “over any specific disagreement on
safety, their reasoning was completely different from that.” Shear said OpenAI
would hire an independent investigator to dig into the entire process.

(Amazon founder Jeff Bezos owns The Washington Post. Interim CEO Patty
Stonesifer sits on Amazon’s board.)



The developments capped a chaotic weekend, during which OpenAI investors and
employees said they had been blindsided by the board’s move to fire Altman on
Friday and mounted a campaign to get him reinstated. In a vague statement
explaining its rationale for the firing, OpenAI said only that Altman wasn’t
always “candid” in his communications with the board.

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According to a person familiar with the board’s proceedings, its members did not
take issue with the company’s products or services, nor was its decision to fire
Altman prompted by concern that he was moving too fast to commercialize AI,
instead of prioritizing AI safety. Instead, the board found it a challenge to
oppose the talented, powerful and well-liked chief executive, this person said,
and believed that pressure on him would only increase as the company grew closer
to its goal of building “artificial general intelligence,” defined as AI systems
that are generally smarter than humans.

On Sunday, Altman went into the OpenAI office to discuss his return to the
company, posting on X, formerly Twitter, a photo of himself with a visitor badge
and writing “first and last time i ever wear one of these.” Altman, the board
and investors including Microsoft and venture capital firms discussed bringing
him back and replacing the board with new directors, floating names like Airbnb
CEO Brian Chesky and former Facebook chief operating officer Sheryl Sandberg,
according to the Wall Street Journal.

But by late Sunday, those talks had broken down, and the board announced Shear’s
appointment as interim CEO to employees. A spokesperson for OpenAI did not
return a request for comment. Shear and Altman did not return requests for
comment. Nadella said ion X: “We look forward to getting to know Emmett Shear
and OAI’s new leadership team and working with them.”

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“It is nuts for sure,” one of the people said, describing the latest twist. “So
much value and mission destroyed overnight.”

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Altman’s ouster highlights a major rift in the artificial intelligence world,
where some people believe that the tech should be rushed forward with minimal
government regulation to make money and provide helpful tools to people, while
others are concerned that AI could quickly surpass human intelligence and turn
on its creators. OpenAI was initially founded as a nonprofit to provide a
counter to Big Tech’s power in AI, but as the company took on more investment
money and began developing consumer products, some in the industry said it had
abandoned its mission.

“Honestly, it is heartbreaking to see such a world-changing organization be
ripped apart,” said Sarah Guo, a venture capitalist and founder of Conviction.
“The previous standard-bearer for the AI revolution, the unassailable giant in
the room is vulnerable, and new leadership will have their work cut out for them
to build customer and employee trust. This completely changes the strategic
landscape and emboldens every other player.”

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In an interview with tech podcaster Logan Bartlett posted in June, Shear said
that he was generally an optimist about technology, and that regulators should
be careful not to stymie innovation. At the same time, he called the prospect
that supersmart AI could take over the world and eradicate human civilization a
real risk. In the podcast, Shear said he believed the chances of such an event
happening were between 2 percent and 50 percent.

“It’s like a universe destroying bomb,” Shear said of a hypothetical
hyper-intelligent AI that exceeds human control. “It’s bad in a way that makes
global warming not a problem.”

Shear stepped down as Twitch’s CEO in February and was named a part-time adviser
to companies at Y Combinator, an influential San Francisco start-up incubator
that Altman headed from 2014 to 2019.

In recent days, Altman’s ouster and the boardroom drama at OpenAI have
transfixed the tech industry. Under Altman’s leadership, the company
transitioned from a nonprofit research lab into a moneymaking corporation that
has become one of the most powerful players in artificial intelligence. Since
the launch of its chatbot, ChatGPT, about a year ago, the company has ignited an
AI arms race with Big Tech giants like Google and Microsoft.



After Altman’s firing, a number of OpenAI executives and employees either quit
or signaled their intention to leave in solidarity. Brockman, one of OpenAI’s
founders, was among the first, saying he and Altman were shocked at the board’s
move. On Saturday, OpenAI executives told workers that they also had been
surprised by the news and assured them that the ouster had nothing to do with
financial or privacy irregularities. By Saturday afternoon, investors and
employees who supported Altman launched a campaign to get him reinstated.

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Many employees posted their support for Altman on X. Prominent venture
capitalist Vinod Khosla, an early investor in OpenAI, said he wanted Altman back
as CEO but would also “back him in whatever he does next.”

As news of the circumstances around Altman’s ouster began to emerge, anger grew
in Silicon Valley circles at OpenAI’s board.

“What happened at OpenAI today is a board coup that we have not seen the likes
of since 1985 when the then-Apple board pushed out Steve Jobs,” Ron Conway, a
longtime venture capitalist, tweeted Friday. “It is shocking, it is
irresponsible, and it does not do right by Sam and Greg or all the builders in
OpenAI.”

Alice Crites contributed to this report.

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