Microsoft and Apple ditch OpenAI board seats amid regulatory scrutiny
Why did Microsoft relinquish its observer seat on OpenAI's board?
Microsoft relinquished its observer seat on OpenAI's board, stating that it has seen "significant progress" over the last eight months and is confident in the company's direction5. The decision comes amid growing antitrust scrutiny from regulators in Europe, Britain, and the U.S. over Microsoft's influence on OpenAI due to its $10 billion investment and board seat4.
What was Apple's initial plan regarding OpenAI's board?
Apple initially planned to take an observer role on OpenAI's board, which would have given the iPhone maker insight into the artificial intelligence start-up similar to Microsoft, its biggest backer2. Phil Schiller, the head of Apple's app store, was reportedly picked for the position. However, Apple later dropped these plans.
Why will Apple no longer join OpenAI's board?
Apple will no longer join OpenAI's board due to increased scrutiny by regulators of Big Tech's investments in AI startups. This decision comes after Microsoft dropped its observer seat on the board. OpenAI will instead host regular meetings with partners as part of "a new approach to informing and engaging key strategic partners."