After Microsoft dropped its supervisory role, OpenAI said it will no longer have a supervisor


Just months after Microsoft gained an observer seat on OpenAI’s board, the company is giving up a non-voting seat.

In a letter sent to OpenAI on Tuesday, Microsoft said the company has seen substantial progress in the AI ​​company and is confident in its direction, according to Axios.

OpenAI said that after this change there will be no more observers on the board. This may dismiss the reports of Apple getting an observer seat.

“We are grateful to Microsoft for expressing confidence in the board and the direction of the company, and we look forward to continuing our successful partnership,” OpenAI said in a statement sent to TechCrunch.

“Under the leadership of CFO Sarah Friar, we are establishing a new approach to informing and engaging with key strategic partners – such as Microsoft and Apple – and investors – such as Thrive Capital and Khosla Ventures.”

Microsoft took over as the supervisor after Sam Altman was fired last year and rehired by OpenAI, which reshuffled most of the board members – except for Cora CEO Adam D’Angelo. OpenAI’s new board includes former Salesforce co-CEO Bret Taylor, former Treasury Secretary Larry Summers, Instacart CEO Fiji Simo, former Sony Corp EVP Nicole Seligman, former Bill & Melinda Gates Foundation CEO Dr. Sue Desmond-Hellman, former NSA chief Paul Nakasone and D’Angelo in addition to Sam Altman.

Since the changes at OpenAI last year, some top researchers such as Andrej Karpathy and Ilya Sutskever have left the company. Following his departure, Sutskever founded a new AI company called Safe Superintelligence Inc. (SSI), with a focus on improving AI safety.

While Microsoft has given up the observer seat, the company still holds a 49% share of the profit-making OpenAI after investing nearly $13 billion. According to a Reuters report published in April, such a partnership could draw the ire of antitrust regulators in the European Union.

Last month, Margrethe Vestager, the EU’s executive vice-president for competition policy, said such investments should not become a tool for big technology companies to exert control over other corporations.

“Microsoft has invested $13 billion in OpenAI over the past few years. But we must ensure that such partnerships do not become an excuse for one partner to exert control over another,” he said in his speech.


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