Microsoft Steps Down from OpenAI Board Observer Role
Microsoft has left its board observer seat at OpenAI, a decision that has drawn regulatory scrutiny. The tech giant stated that the move was prompted by significant improvements in the AI start-up’s governance over the past eight months.
The Financial Times reported, quoting sources aware of the matter, that Apple, which was anticipated to take an observer role on OpenAI’s board, will not do so.
Background of Microsoft’s Involvement:
In November last year, Microsoft took a non-voting observer position on OpenAI’s board after CEO Sam Altman was reinstated.
This role allowed Microsoft to attend board meetings and access confidential information, though it did not grant voting rights on matters such as electing or choosing directors.
The observer seat and Microsoft’s more than $10 billion investment in OpenAI have raised concerns among antitrust watchdogs in Europe, Britain, and the US.
Reasoning Behind Microsoft’s Decision:
Microsoft cited OpenAI’s new partnerships, innovation, and growing customer base since Altman’s return as reasons for relinquishing its observer seat.
The company stated, “Over the past eight months, we have witnessed significant progress by the newly formed board and are confident in the company’s direction. Given all this, we no longer believe our limited role as observers is necessary.”
