Microsoft and Apple Step Down from OpenAI Board Seats

Money | July 10, 2024, 9:25 a.m.

Microsoft has recently withdrawn from OpenAI's board of directors in response to the European Commission's reevaluation of their partnership terms. Following internal turbulence at OpenAI, Microsoft had taken on an observer role on the board, but has now removed itself from this position. This move comes after Apple was also expected to join as an observer but will no longer do so. Instead, OpenAI plans to engage in regular meetings with its key partners, including Microsoft and Apple. Despite Microsoft's confidence in OpenAI's direction, the European Commission is investigating their relationship to ensure it complies with merger rules. This investigation is part of a broader antitrust probe into the artificial intelligence sector, with other tech giants also under scrutiny. Ultimately, this development reflects the growing regulatory scrutiny surrounding big tech companies and their partnerships in the AI industry.