Analysis-AI poster child Altman back at OpenAI, may have fewer checks on power
By Aditya Soni
(Reuters) — Sam Altman's return as OpenAI's chief executive will strengthen his grip on the startup and may leave the ChatGPT creator with fewer checks on his power as the company introduces technology that could upend industries, corporate governance experts and analysts said.
OpenAI is bringing Altman back just days after his ouster as well as installing a revamped board that could bring sharper scrutiny to the startup at the heart of the AI boom, but strong support from investors including Microsoft (NASDAQ:MSFT) may give Altman more leeway to commercialize the technology.
«Sam's return may put an end to the turmoil on the surface, but there may continue to be deep governance issues,» said Mak Yuen Teen, director of the centre for investor protection at the National University of Singapore Business School.
«Altman seems awfully powerful and it is unclear that any board would be able to oversee him. The danger is the board becomes a rubber stamp,» he said.
OpenAI's new board will boast more experience at the top level and strong ties to both the U.S. government and Wall Street.
The board fired Altman last week with little explanation and attempted to move on by naming an interim CEO twice. However, pressure from Microsoft — and the 38-year-old's strong loyalty among the 700-plus OpenAI employees that caused nearly all of them to threaten to leave the company — led to Altman's reinstatement as of Wednesday.
«Altman has been invigorated by the last few days,» GlobalData analyst Beatriz Valle said. But that could come at a cost, she said, adding that he has «too much power now.»
Bret Taylor, former co-CEO of Salesforce (NYSE:CRM) who also played a key role in forcing through Elon Musk's $44 billion
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