Microsoft relinquished its board observer seat at OpenAI, citing improved governance and addressing regulatory scrutiny concerns.
Apple will not join OpenAI’s board, despite expectations, after announcing ChatGPT integration last month, reports the Financial Times.
An OpenAI spokesperson announced regular stakeholder meetings with strategic partners like Microsoft and Apple, and investors like Thrive Capital.
In November, Microsoft joined OpenAI’s board as a non-voting observer after CEO Sam Altman resumed leadership of the ChatGPT operator.
The seat allowed attendance at OpenAI’s board meetings and access to confidential information, but it lacked voting rights.
Microsoft’s $10 billion OpenAI investment and observer seat have raised antitrust concerns in Europe, Britain, and the U.S.
Microsoft relinquished its observer seat, citing OpenAI’s new partnerships, innovation, and expanding customer base since Altman’s return.
“Over the last eight months, the newly formed board has made great progress, and we are confident in the company’s path. Given all of this, we no longer believe our restricted position as observers is required,” it wrote in a letter to OpenAI on July 9.
EU antitrust regulators said Microsoft’s non-control over OpenAI exempts the partnership from merger rules, but they’ll review exclusivity clauses.
However, British and U.S. antitrust watchdogs still have concerns and questions about Microsoft’s influence over OpenAI’s independence.
Microsoft and OpenAI are ramping up competition in AI sales to enterprises, aiming to boost revenue and show regulatory independence.
Moreover, Microsoft broadens Azure AI with Inflection’s CEO leading consumer AI, diversifying from OpenAI focus.
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