OpenAI Hits Close to Home

This OpenAI story is a fascinating, strange, and sordid tale, and soon to be an MBA case study unfolding in real-time. 🎓

In the fast-paced world of technology and innovation, it’s not uncommon to witness unexpected twists and turns. However, the recent shakeup at OpenAI has left industry insiders and enthusiasts intrigued, perplexed, and concerned all at once. The swift unraveling of the board, and the senior leadership team, coupled with the unwavering support from the company’s 700 employees, highlights a disturbing reality and a bigger wake-up call for more governance in the private sector.

OpenAI’s board had a total of six members, three of whom are co-founders and three non-employees with no vested interests in the company. One would expect some level of stability and cohesion.

Boards are typically responsible for providing guidance and strategic oversight and are guided by the company’s mission and values.

OpenAI mission

Our mission is to ensure that artificial general intelligence benefits all of humanity.

Boards don’t just fire CEOs without careful consideration, especially when the individuals involved have no direct stake in the company’s success or failure. The motives and dynamics that led to this decision remain under speculation.

One thing is clear. The board did not fully think this through, between the termination over a phone call, the scramble to find a successor, no employee intervention, and the horrific communication cadence, they may have just proved the point that they need supervision.

Which is what they are getting as Microsoft steps in and hires the fired CEO from the company they have 25% stake in, to the tune of $11B. 💰

or as Elon Musk, co-founder of Open AI, shared on X

𝕏 Corp investors will own 25% of xA

4:56 AM · Nov 19, 2023·20.7M Views
Elon Musk 👽

I am not sure what the board is thinking, but the only remaining employee and co-founder on the board, Ilya Sutskever, shared this on X on Monday (2 days later) at 8:15 am.

I deeply regret my participation in the board’s actions. I never intended to harm OpenAI. I love everything we’ve built together and I will do everything I can to reunite the company.
Ilya Sutskever 😔

And finally, another interesting comment from Greg , co-founder, former President and ousted Chairman of the Board for OpenAI.

https://publish.twitter.com/?url=https://twitter.com/gdb/status/1725736242137182594

Tweets by gdb

So many questions I have…more for another day.

I have shared some auxiliary info below if you want to sleuth👁️‍🗨️ your❤️out.

Who are the Founders?

OpenAI Founders: