DBT Bureau
Bengaluru, 11 July 2024
Microsoft and Apple will not take board seats in ChatGPT-maker OpenAI as regulatory scrutiny increases in the US.
Reportedly, Microsoft was planning to be an observer on the board of OpenAI after it infused $13 billion in the artificial intelligence company in April this year. However, the technology giant will remain the largest shareholder of OpenAI with a 49% stake.
According to reports of the Financial Times, Apple also dropped its plans to join the OpenAI board on the back of its stake in the company.
“We’re grateful to Microsoft for voicing confidence in the Board and the direction of the company, and we look forward to continuing our successful partnership,” said OpenAI spokesperson Steve Sharpe according to The Verge.
“Under the leadership of CFO Sarah Friar, we are establishing a new approach to informing and engaging key strategic partners – such as Microsoft and Apple – and investors – such as Thrive Capital and Khosla Ventures,” the report said.
According to these reports, OpenAI will take a new approach towards Microsoft and Apple by hosting regular stakeholder meetings to share progress on its mission and ensure stronger collaboration across safety and security.
These developments have come at a time when antitrust concerns over Microsoft’s deal with OpenAI have grown in recent months. While UK regulators have sought details of Microsoft’s partnership with OpenAI in December, EU regulators are also looking into this partnership.
Big tech firms have been facing rising scrutiny from regulators across the world over their dominance on the technology space through predatory pricing policies. Even the ill-effects of services they provide have been under the scanner of various governments across the world.
