Cooperation model changes! Microsoft decisively withdrew from the position of observer on OpenAI's Board of Directors.

Gelonghui Finance ·  Jul 10 20:52

Source: Glonui.

Regulatory review becomes a key factor.

According to media reports on Tuesday local time, Microsoft has decided to give up its observer seat on the OpenAI board of directors, just as global regulators are increasingly scrutinizing investments by tech giants in AI startups.

This decision was made after eight months of observation of OpenAI's governance structure and development direction. Microsoft believes that its role as an observer is no longer necessary because OpenAI has made significant progress.

Strategic adjustment under regulatory review.

In November last year, OpenAI's CEO Sam Altman encountered board turmoil, and Microsoft accepted an non-voting observer role to ensure corporate governance stability and Altman's return.

This move to some extent allayed concerns about Microsoft's influence on the startup. However, over time, Microsoft has witnessed significant changes to the OpenAI board and the company's strategic direction, and therefore believes that its observer role is no longer needed.

Analysts say that $Microsoft (MSFT.US)$The above-mentioned change, which was just announced, comes at a time when anti-monopoly agencies in the European Union and the United States are closely scrutinizing the cooperation between Microsoft and OpenAI.

US federal regulators recently reached an agreement to allow an antitrust investigation into Microsoft, OpenAI, and Nvidia over their dominant position in the AI industry, examining whether these powerful companies have damaged competition by abusing and engaging in illegal behavior.

Since OpenAI released its ChatGPT chatbot at the end of 2022, it has become a global focus. The technology allows users to get intelligent and creative answers through simple text queries, pushing for deeper conversations. Microsoft's investment in OpenAI has exceeded $13 billion, demonstrating its confidence in OpenAI's technology potential and its leadership in the generative AI field.

Regulators are concerned about Microsoft's relationship with OpenAI, especially with regard to antitrust issues. EU antitrust regulators said last month they will seek third-party opinions on exclusivity clauses in the agreement. UK and US regulators are also concerned about Microsoft's influence on OpenAI and its independence.

An OpenAI spokesperson said the company would establish a new way of participation and communication through regular meetings with strategic partners such as Microsoft and Apple, as well as investors such as Thrive Capital and Khosla Ventures. This new mode of participation will be led by former Nextdoor CEO Sarah Friar, and aims to strengthen ties with key strategic partners.

Although Microsoft has given up its observer seat, its partnership with OpenAI remains close.

OpenAI relies on Microsoft's computing power and cloud storage resources, and Microsoft has made significant progress in AI services through its collaboration with OpenAI. In addition, Microsoft is expanding its AI products on the Azure platform and has hired Inflection's CEO to lead its consumer AI division, showing its diversified efforts in the AI field.

OpenAI's board of directors currently consists of eight members, including Altman, former US Treasury Secretary Larry Summers, and Instacart CEO Fidji Simo, demonstrating its diversity and professionalism.

Microsoft's withdrawal reflects its confidence in OpenAI's governance and development direction, and also responds to regulators' concerns about the relationship between large tech companies and AI startups. This move may bring more independence and flexibility to OpenAI, while paving the way for Microsoft's future development in the AI field.

OpenAI said in a statement to Axios that it appreciates Microsoft's confidence in the company's development direction and looks forward to continuing their successful partnership.

OpenAI added that it is "building a new way of providing information and attracting key strategic partners like Microsoft and Apple as well as investors like Thrive Capital and Khosla Ventures."

OpenAI is still closely working with Microsoft despite Microsoft giving up its observer seat.

Editor / jayden

The translation is provided by third-party software.

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