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Microsoft CEO Satya Nadella, the biggest OpenAI investor, was blindsided by the decision to oust Sam Altman, report reveals

Microsoft CEO Satya Nadella, the biggest OpenAI investor, was blindsided by the decision to oust Sam Altman, report reveals

Microsoft CEO Satya Nadella was only informed of Sam Altman's termination a mere 20 minutes before the official announcement.

Priya Singh
Priya Singh
  • Updated Dec 4, 2023 4:12 PM IST
Microsoft CEO Satya Nadella, the biggest OpenAI investor, was blindsided by the decision to oust Sam Altman, report reveals Microsoft is the biggest investor of OpenAI
SUMMARY
  • Microsoft employees reportedly characterised the decision as "mind-bogglingly stupid"
  • The OpenAI board members thought that Microsoft CEO would understand their decision
  • Microsoft employees think that firing Sam Altman from OpenAI could have destroyed the AI startup

The surprising turn of events that led to the ouster of OpenAI CEO Sam Altman from the AI firm's board had even left not just the Microsoft CEO Satya Nadella blindsided but also the entire tech industry in shock. The New Yorker's recent report unveiled that Nadella, who had invested a substantial $13 billion in the AI company, was only informed of Altman's termination a mere 20 minutes before the official announcement.

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Microsoft employees reportedly characterised the decision as "mind-bogglingly stupid," expressing concerns about potential repercussions, particularly for ChatGPT developers. The reasons behind Altman's dismissal remain undisclosed, with the board citing a lack of candour in his communications as a contributing factor.

Speculation abounds regarding the firing, centering on the ongoing debate over AI dangers and allegations that Altman withheld information from the board. The report suggests that the board believed Microsoft, as a major investor, would comprehend and respect their decision.

Following Altman's removal, Microsoft strategised on three fronts. Initially, they considered supporting OpenAI CTO Mira Murati, who assumed the role of interim CEO after Altman's departure, hoping the board would reconsider. Another option involved leveraging their influence as the primary investor to pressure the board into reinstating Altman. Lastly, Microsoft contemplated hiring Altman and any associates willing to join, ultimately opting for this approach just five days after the initial upheaval.

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Nadella was notified of OpenAI's decision shortly before the public announcement. Despite the professional turmoil, Nadella managed to carve out time for the ICC Cricket World match between India and Australia.

Speaking to The Verge, Altman shared his initial reactions to the board's decision, stating, "It took me a few minutes to snap out of it and get over the ego and emotions... Obviously, I really loved the company and had poured my life force into this for the last four and a half years full time..." Altman expressed commitment to OpenAI's mission of developing safe and beneficial Artificial General Intelligence (AGI).

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Published on: Dec 4, 2023 4:12 PM IST
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