Microsoft hires ex-OpenAI leaders Altman and Brockman to lead new AI group

In This Article:

Microsoft has hired OpenAI co-founders Sam Altman and Greg Brockman to head up a "new advanced AI research team," the software conglomerate's chief Satya Nadella said Monday, capping three days of intense discussions following the unexpected decision by OpenAI's board to dismiss Altman.

Many OpenAI members, including the co-founder Brockman, left the firm in protest last week. Altman will serve as the chief executive of the new AI group at Microsoft, Nadella said. "We’ve learned a lot over the years about how to give founders and innovators space to build independent identities and cultures within Microsoft, including GitHub, Mojang Studios and LinkedIn, and I’m looking forward to having you do the same."

Nadella said Altman and Brockman will be joined by "colleagues." Former OpenAI top talent Szymon Sidor, Jakub Pachocki and Aleksander Madry are joining Microsoft with "more" to follow suit, Brockman said in a post on X. (Microsoft has extended job offers to all employees at OpenAI, according to a letter that OpenAI employees wrote Monday in which they asked the board to resign.)

"We look forward to moving quickly to provide them with the resources needed for their success," said Nadella, in what many tech entrepreneurs labeled as an example of "incredible execution." Brockman added that the new team will build "something new & it will be incredible."

Nadella, whose firm has invested over $10 billion in OpenAI and acquired almost 50% ownership, said the Windows-maker remains committed to the startup.

Microsoft was purportedly taken by surprise by the sudden action of OpenAI's board. It is remarkable that Nadella managed to convince and find a familiar new home for the ex-leaders of OpenAI ahead of the market's opening on Monday.

Altman has been the public face of OpenAI, the most valuable U.S. startup. It's not only widely estimated to be leading the current AI race but has in less than a year also assumed the position of kingmaker for thousands of other startups that are building atop of its software offerings. Investment in OpenAI has also supercharged Microsoft's AI efforts, helping it court many businesses.

Numerous prominent business leaders and investors have expressed surprise at OpenAI's decision, warning that without Altman's leadership, the startup may struggle to maintain its current pace of progress. Microsoft's strategic move to secure Altman and Brockman reinforces its competitive edge, preventing other major technology companies from poaching their expertise and bolstering Wall Street's positive outlook on Microsoft's future.