Exploring OpenAI’s Unconventional Governance Structure

Exploring OpenAI’s Unconventional Governance Structure



Inside OpenAI’s weird governance structure

“WHICH WOULD you have more confidence in? Getting your technology from a non-profit, or a for-profit company that ⁤is entirely controlled by one ⁣human being?” asked Brad⁤ Smith, president ⁣of Microsoft, at a conference in Paris on November 10th. That was Mr Smith’s way of praising OpenAI, the startup behind ChatGPT, and knocking Meta, Mark Zuckerberg’s social-media behemoth.

In recent days OpenAI’s non-profit governance​ has looked rather less attractive. On November 17th, seemingly out of nowhere, its ⁢board⁢ fired Sam Altman, the startup’s co-founder and chief executive. Mr Smith’s own boss, Satya Nadella, who heads Microsoft, was​ told of Mr Altman’s sacking only a⁤ few minutes before Mr Altman himself. Never mind that Microsoft is OpenAI’s biggest shareholder, having backed the startup​ to the tune of over​ $10bn.

By November 20th the vast majority of OpenAI’s 700-strong workforce⁣ had‍ signed an open letter giving the⁢ remaining board members​ an ultimatum: ​resign or the signatories will follow⁣ Mr Altman to‍ Microsoft, where he has been invited by Mr Nadella to head a ‍new in-house AI lab.

2023-11-20 21:03:33
Post from www.economist.com
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