Over the weekend, significant changes occurred in the artificial intelligence sector, causing upheaval within the industry.
The CEO of OpenAI, a prominent AI company globally recognized, faced an unexpected dismissal by the company’s board on Friday. Within approximately 48 hours, Sam Altman was swiftly appointed to lead a new division at Microsoft, potentially wielding even greater influence due to the substantial resources of one of the world’s largest tech corporations and the full backing of its CEO.
Meanwhile, OpenAI is confronted with a daunting outlook, as the board’s actions have seemingly eroded the trust of the agency’s staff, leading to a potential mass exodus of employees.
Just a little over a year after hosting its inaugural designer event, OpenAI introduced enhanced versions of its technologies, including advancements in its ChatGPT AI chatbot.
Here’s a recap of the key events that transpired during this transformative period in the AI landscape:
Friday
In a Google Meet call convened by Ilya Sutskever, a co-founder and principal scientist at OpenAI, around 3 p.m. ET, Sam Altman was terminated and informed that the news would be promptly disclosed. Shortly thereafter, Greg Brockman, another co-founder and chairman, was also notified of his imminent dismissal within the next half-hour.
By 3:30 p.m. ET, OpenAI publicly announced Altman’s termination citing concerns about his lack of transparency with the board. The company revealed that Mira Murati, the chief technology officer, would step in as the interim CEO.
Just moments before the board’s announcement, it was disclosed that Microsoft, an investor in OpenAI, and other key partners were briefed about Altman’s situation.
Following the news of his termination, Altman expressed his gratitude for working with such brilliant individuals and hinted at sharing more details about his future endeavors.
Brockman departed swiftly, reassuring in a statement on X that there were promising prospects ahead and urging against undue concern.
According to sources familiar with the unfolding events, as reported by CNN’s Kara Swisher, a significant factor contributing to Altman’s dismissal was the discord between his aggressive AI development approach and the board’s preference for a more cautious progression.
Saturday
Rumors swirled less than a day after Altman’s ousting, suggesting that he and other former OpenAI allies were contemplating launching their venture, while the company’s board pondered the possibility of reinstating the deposed CEO.
Sunday
On Sunday evening, Altman returned to the premises of OpenAI, this time sporting a guest badge, for discussions with the board regarding a potential comeback. Reports indicate that the dialogue, overseen by Microsoft CEO Satya Nadella, set a deadline of 5 p.m. PT for meeting Altman’s stipulations, which included appointing a new board chair from Microsoft and reinstating him as CEO.
However, these negotiations appeared to falter.
Nadella disclosed that Altman and Brockman would be heading to Microsoft to spearhead a new AI research team late Sunday, transitioning into Monday. Emmett Shear, the former CEO of Amazon’s Twitch streaming service, assumed the interim CEO role at OpenAI. Mira Murati may resume her position as the chief technology officer.
Monday
In a blog post early Monday, Shear, who departed Twitch in March, described the opportunity to join OpenAI as a “once-in-a-lifetime” chance. He hinted at the possibility of engaging an independent investigator to shed light on the events leading to Altman’s dismissal.
Despite Shear’s assurances, OpenAI employees remained unconvinced. On Monday night, hundreds of staff members signed an open letter urging the company’s board to reconsider and reinstate Altman and Brockman. They also threatened to align with the co-founders at Microsoft if their demands were not met.
Altman expressed optimism and solidarity in a post on X on Monday, emphasizing the collective effort towards a shared goal.
The unfolding drama may yet hold more surprises. Reports suggest that Altman and Brockman could return to OpenAI if the board members responsible for their termination step down, as reported by The Verge on Monday evening.
In any scenario, Altman appears committed to ensuring continuity and growth for OpenAI, reaffirming his dedication to the company’s partners and customers in a separate statement on X Monday.
According to Altman, “Our primary focus, alongside Nadella, is to ensure the continued success of OpenAI.”
