Sam Altman Might Rejoin OpenAI, Microsoft CEO Hints

During interviews on CNBC and Bloomberg TV, Microsoft CEO Satya Nadella addressed the possibility of Sam Altman returning to OpenAI, despite his recent dismissal as CEO by the AI startup's board of directors. Altman had announced earlier in the day his intention to join a newly formed AI research team at Microsoft, alongside former OpenAI president Greg Brockman and several former OpenAI researchers.

Nadella expressed his desire for Altman and Brockman to find a suitable home if they were not to remain at OpenAI. When asked about Altman's potential return, Nadella stated that the decision ultimately lies with the OpenAI board, management, and employees. He emphasized Microsoft's explicit partnership with OpenAI and acknowledged that the outcome depends on whether individuals choose to stay at OpenAI or join Microsoft.

Nadella's remarks align with earlier reports from The Verge, which suggested that Altman's move to Microsoft was not yet finalized. The article also highlighted the recent change of heart from OpenAI's chief scientist, Ilya Sutskever, who was reportedly instrumental in Altman's departure. According to The Verge, only two of the remaining three board members at OpenAI need to change their stance to bring Altman back. (Brockman was removed as the board's chairman on Friday, and Altman previously held the sixth seat.)

Overall, Nadella's comments shed light on the ongoing discussions surrounding Altman's potential return to OpenAI and the dynamics between Microsoft and OpenAI in this evolving landscape of AI research and development.

Nadella also expressed Microsoft's desire for "changes in governance" at OpenAI, particularly about investor relations. It is worth noting that Microsoft, along with other backers and the majority of OpenAI employees, were reportedly informed of Altman's dismissal just minutes before it became public knowledge. OpenAI operates under the governance of a nonprofit board, to which investors, including Microsoft, do not hold seats, despite Microsoft's significant investment of over $10 billion in the organization.

Nadella stated during an interview with CNBC,

"It is evident that there needs to be a shift in governance. We will engage in constructive discussions with their board to address this matter as it progresses."

Since Altman's termination, OpenAI has experienced a tumultuous period. Over the weekend, the management team and backers, including CTO Mira Murat, who briefly assumed the role of interim CEO, began evaluating potential candidates to replace the board in the event of Altman's reinstatement. Simultaneously, the board initiated its search for a new CEO, ultimately selecting Emmett Shear, the co-founder of Twitch, after Nat Friedman, CEO of GitHub, and Alex Wang, CEO of Scale AI, declined the offers.

Internally, Shear's appointment proved to be a controversial choice, with employees reportedly refusing to attend an emergency all-hands meeting scheduled for Sunday with Shear. Their response to the announcement in OpenAI's Slack channel was a single "fuck you" emoji.

The discontent within OpenAI's ranks is widespread, with over 700 of the approximately 770 employees, including Ilya Sutskever, signing a letter demanding the resignation of the board and the reinstatement of Altman. Taking advantage of the unrest, Salesforce has even attempted to recruit OpenAI researchers by offering matching compensation to those who choose to leave OpenAI and join Salesforce's AI research team.