News

Altman and Brockman Leadership Reaffirmed by OpenAI Board Following Investigation

• By John K. Waters
• 03/14/2024

The recent reaffirmation of Sam Altman and Greg Brockman's leadership at OpenAI following an investigation by the Special Committee of the Board was a signal to employees, investors, and the broader AI community that the company's leadership is secure and trusted. But that's not the only implication of this leadership reaffirmation.

Among other things, this investigation threw a spotlight on the need for, and subsequent implementation of, stronger governance practices at OpenAI. The Board has begun implementing several governance improvements, the company said, including new corporate guidelines, a strengthened conflict of interest policy, the establishment of a whistleblower hotline, and the addition of new Board committees.

Also, the thorough nature of the outside investigation conducted by the law firm of WilmerHale and the clear communication of its findings could restore or boost confidence among stakeholders, reassuring them that OpenAI can effectively manage internal issues.

The expansion of the Board and the establishment of new committees, perhaps most importantly the Mission and Strategy committee, underscores OpenAI’s commitment to its mission of ensuring artificial general intelligence benefits to humanity. The new board members bring diverse experiences and perspectives to the company's leadership, which can contribute to OpenAI's strategic growth and help it navigate the multifaceted challenges of AI development.

The expanded board includes three new Board members: Dr. Sue Desmond-Hellmann, former CEO of the Bill and Melinda Gates Foundation, a member of the Board of Directors at Pfizer and the President’s Council of Advisors on Science and Technology; Nicole Seligman, former EVP and Global General Counsel of Sony, President of Sony Entertainment, and member of the Board of Directors at Paramount Global, Meira GTx, and Intuitive Machines, Inc.; and Fidji Simo, CEO and Chair of Instacart and member of the Board of Directors at Shopify. These appointments are part of OpenAI's strategy to bolster its board with experienced leaders capable of guiding the organization through its next growth phase, the company said.

The inclusion of board members with expertise in navigating complex regulatory environments prepares OpenAI for the increasing scrutiny AI companies are facing globally. And the establishment of a whistleblower hotline demonstrates that transparency is a priority at the company, which is critical in an industry in which rapid innovation can sometimes outpace ethical considerations.

Finally, addressing the conflict that led to the initial removal of Altman and Brockman through a comprehensive review process sets a precedent for handling similar situations in the future and possibly preventing them from escalating.

The investigation by WilmerHale included interviews with members of OpenAI’s prior board and its advisors, as well as other executives and "pertinent witnesses;" reviews of more than 30,000 documents; and evaluations of "various corporate actions," the company said in a statement. The WilmerHale investigators found a breakdown in trust but concluded that the actions taken were not due to concerns about product safety, security, or finances. The firm's final report concluded that Altman and Brockman's leadership was pivotal for OpenAI's future.

"We have unanimously concluded that Sam and Greg are the right leaders for OpenAI," said Bret Taylor, Chair of the OpenAI Board, in a statement.  This endorsement comes after a period of uncertainty following the temporary removal of Altman as CEO and from the Board of Directors last November.

Overall, these developments are crucial for OpenAI as it continues to evolve in the fast-paced and ethically complex field of artificial intelligence. The investigation's outcome not only shapes the immediate future of the company but also sends a message to the industry about the importance of governance and accountability.

"We recognize the magnitude of our role in stewarding transformative technologies for the global good," Taylor said.