Microsoft Corp (NASDAQ:MSFT) has given up its seat as an observer on the board of OpenAI, the artificial intelligence company behind ChatGPT. The Cupertino colossus, which was given a seat as a major investor following the surprise firing of CEO Sam Altman last November, said in a letter that it was resigning its place on the board with immediate effect.
Microsoft has relinquished its seat on the board of OpenAI, saying its participation is no longer needed because the ChatGPT maker has improved its governance since being roiled by boardroom chaos last year.
Microsoft has given up its observer role on OpenAI's board, per a letter reported by outlets including Axios. Apple is not expected to take up a similar observer role, The Financial Times reported.
OpenAI will host regular meetings to share its progress with key partners including Microsoft and Apple.
Microsoft (NASDAQ: MSFT ) remains among the top AI stocks investors look to for growth right now. Microsoft stock is certainly among the best long-term options for investors looking for dominant growth long term.
Microsoft has announced that it will relinquish its observer seat on the OpenAI board, a move prompted by increasing regulatory scrutiny over generative artificial intelligence in both Europe and the U.S. The decision was communicated through a letter from Microsoft's Deputy General Counsel, Keith Dolliver, to OpenAI late on Tuesday.
Microsoft took a nonvoting board seat at OpenAI back in November in a bid to quell some of the questions about Microsoft's interest in the startup. This followed a turbulent period during which OpenAI CEO Sam Altman was fired, then promptly rehired.
Microsoft has ditched its board observer seat at OpenAI that has drawn regulatory scrutiny on both sides of the Atlantic, saying it was not necessary after the AI start-up's governance had improved significantly in the past eight months.
Microsoft (MSFT) closed the most recent trading day at $459.54, moving -1.44% from the previous trading session.
Bill Gates co-founded Microsoft in 1975. Microsoft stock is the largest position in the Bill & Melinda Gates Foundation Trust portfolio.
Tech giant Microsoft on Tuesday inked a record carbon capture agreement with Occidental Petroleum subsidiary 1PointFive, as major technology companies grapple with the growing carbon footprint of artificial intelligence.
Carbon capture firm 1PointFive said on Tuesday it has entered into an agreement with Microsoft to sell the tech giant 500,000 metric tons of carbon dioxide removal (CDR) credits over six years.