Microsoft CEO asserts crucial role in OpenAI’s existence

Satya Nadella discloses Microsoft, OpenAI’s major investor, was not consulted regarding Sam Altman’s removal as repercussions persist

The head of Microsoft emphasizes the indispensable role of his company in OpenAI, stating that there is “no OpenAI” without Microsoft’s involvement. Satya Nadella discloses that Microsoft, the largest investor in OpenAI, was not consulted regarding the dismissal of Sam Altman. These remarks come amid ongoing discussions within OpenAI to address the crisis involving its staff and leadership, as reported. During an interview with tech journalist Kara Swisher on her podcast, Nadella highlights the significant partnership between Microsoft and OpenAI, underscoring the deep commitment Microsoft has made to support OpenAI’s mission.

Microsoft revealed on Monday that it had recruited Sam Altman and Greg Brockman, OpenAI’s former president who had resigned amid the recent upheaval. Altman and Brockman will be leading a new AI unit within Microsoft. Satya Nadella, Microsoft’s CEO, mentioned in an interview with Kara Swisher that Microsoft lacked any formal relationship with the non-profit board governing OpenAI’s commercial subsidiary, which was led by Altman. However, Nadella emphasized that as a partner, consultation on significant decisions should be expected. OpenAI’s management is reportedly engaged in discussions with Altman, interim chief Emmett Shear, and the board regarding the ongoing situation.

“We are currently exploring options that are agreeable to all parties and plan to reconvene tomorrow morning after everyone has had a chance to rest,” Makanju stated. She acknowledged the challenging nature of these intense discussions and urged patience as the resolution process unfolds. The staff at OpenAI, headquartered in San Francisco, has expressed widespread dissatisfaction with Altman’s removal. Over 700 out of 750 employees have signed a letter demanding the board’s reinstatement of Altman followed by their resignation.

In a subsequent interview, Nadella emphasized the need for governance reforms at OpenAI, the company responsible for the ChatGPT chatbot, following the abrupt removal of Altman last week. The four-member OpenAI board, which dismissed Altman on Friday, citing a lack of consistency in his communications, continues to face calls for their resignation. Notably, Ilya Sutskever, OpenAI’s chief scientist and a board member, has signed the letter advocating for the board’s resignation. Nadella, in various interviews, argued for changes in OpenAI’s structure. He highlighted the necessity for governance alterations in the organization, initially founded as a non-profit but later establishing a commercial subsidiary under Altman’s leadership. Nadella stated that Microsoft would engage in a constructive dialogue with OpenAI’s board on this matter.

He emphasized that the decision for OpenAI employees to either remain in their current positions or transition to Microsoft was at their discretion. “I’m open to both options,” he affirmed.

Despite announcing Altman’s recruitment by Microsoft just a day earlier, Nadella introduced the possibility that Altman might not directly work for the tech giant. “Irrespective of where Sam is, he’s working with Microsoft,” Nadella told Bloomberg.

In their letter issued on Monday, numerous startup employees urged the board to reconsider its decision. “We, the undersigned, may choose to resign from OpenAI and join the newly announced Microsoft subsidiary run by Sam Altman and Greg Brockman,” they expressed. “We will take this step imminently unless all current board members resign … and [reinstate] Sam Altman and Greg Brockman.

Altman has taken to social media to convey appreciation to those at OpenAI who have echoed the sentiment that the company “is nothing without its people” on their profiles.

In a post on X, formerly Twitter, on Monday, he stated: “Satya and my top priority remains to ensure OpenAI continues to thrive. We are committed to fully providing continuity of operations to our partners and customers. The OpenAI/Microsoft partnership makes this very doable.