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- 🤖 Sam Altman Fired as CEO of OpenAI
🤖 Sam Altman Fired as CEO of OpenAI
PLUS: Meta Dismantles Responsible AI Team
Welcome back AI enthusiasts!
In today’s AI Report:
💣Sam Altman Fired as CEO of OpenAI
🦺Meta Dismantles Responsible AI Team
🛠5 Trending Tools
💰Venture Capital Updates
💼Who’s Hiring?
Read Time: 3 minutes
🗞RECENT NEWS
OPENAI
💣Sam Altman Fired as CEO of OpenAI
Sam Altman, the co-founder and CEO of OpenAI, was suddenly fired on Friday because “he was not consistently candid in his communication with the board.”
Key Details:
Here’s the Leading Theory:
Nov. 6th: OpenAI DevDay announces new features, including building customized GPTs.
Nov. 9th: Microsoft restricts employees from accessing ChatGPT due to “security concerns.”
Nov. 15th: OpenAI limits ChatGPT Plus signups.
Nov. 17th: OpenAI fires Sam Altman!
The new features likely had security issues that leaked sensitive data, and these flaws weren’t disclosed. Altman prioritized market growth over security and privacy testing.
In response to Altman’s layoff, OpenAI president Greg Brockman quit, loyal senior researchers resigned, and doubt-filled stakeholders voiced concerns about the board of directors.
Former interim CEO Mira Murati and the leadership team pushed to reinstate Altman to recover recently departed executives and senior employees.
Despite these efforts, the board rejected negotiations to reinstate previous leadership positions and hired Emmett Shear, former CEO of Twitch, as the new interim CEO of OpenAI.
In a twist of events, Microsoft CEO Satya Nadella announced Altman and Brockman will join Microsoft to lead an advanced research team.
Why It’s Important:
The responsibility of a company’s board of directors is to favor shareholder interests. OpenAI’s most important shareholder is Microsoft, which provided $13 billion to fund AI software for Bing’s search engine and Azure’s cloud computing services. However, Microsoft wasn’t informed of Altman’s dismissal until “moments before” the public announcement, tanking Microsoft’s stock.
OpenAI’s unusual company structure raises concerns. The company is a non-profit organization. However, Altman, Brockman, and Chief Scientist IIya Sutskever formed OpenAI LP in 2019, a for-profit entity within OpenAI’s structure that grew to a $90 billion valuation.
META
🦺Meta Dismantles Responsible AI Team
Meta reportedly dismantled its Responsible AI Team (RAI) to funnel more resources toward general artificial intelligence research.
Key Details:
The team was created to identify problems with training approaches, including whether Meta’s AI models possess adequate diverse information to provide optimized outputs.
RAI employees will relocate to the company’s generative AI product team and Meta’s AI infrastructure group.
John Carvill, Senior Director of Communications at Meta, stated: “The company will continue to prioritize and invest in safe and responsible AI development.”
Why It’s Important:
The team restructured earlier this year with layoffs that left RAI “a shell of a team.” Employees had little autonomy, and implementing initiatives required lengthy stakeholder negotiations.
Automated systems on Meta’s social platforms have experienced issues like Facebook’s translation tool that caused a false arrest and Instagram’s algorithms that helped individuals locate child abuse materials.
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💰VENTURE CAPITAL UPDATES
💼WHO’S HIRING?
🤖PROMPT OF THE DAY
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