Sam Altman returned as OpenAI CEO after five days of upheaval, staff resistance and negotiations over the company’s leadership. Microsoft publicly backed its partnership and offered a path for Altman and OpenAI employees to work at Microsoft, but the UK Competition and Markets Authority later said Microsoft was influential in the events, not their driver.
What happened at OpenAI in November 2023?
On November 17, 2023, OpenAI’s board announced that Altman would leave as CEO and depart the board. It named Chief Technology Officer Mira Murati interim CEO. OpenAI described its nonprofit board as the governing body responsible for the company’s activities.
The board said its review had found Altman “not consistently candid in his communications with the board,” hindering its ability to exercise its responsibilities. It added: “The board no longer has confidence in his ability to continue leading OpenAI.” Those statements were the board’s explanation at the time, not an adjudicated finding.
Over the next several days, Microsoft reaffirmed its partnership with OpenAI and said it would work with the company’s new leadership. The CMA’s later account says Microsoft announced that Altman would lead a new AI research lab at Microsoft and offered OpenAI employees the opportunity to join him. Meanwhile, OpenAI executives and employees organized for Altman’s return; the CMA says a large majority of staff threatened to resign if the board did not reinstate him.
Recommended Free Tools
#1 Best Overall
On November 21, OpenAI announced an agreement in principle for Altman to return under an initial new board. On November 29, the company formalized his return as CEO. The five-day reversal was a governance crisis: the board’s abrupt decision was followed by pressure from employees, executives and other stakeholders, then a negotiated leadership and board reset.
Why did Sam Altman return as OpenAI CEO?
OpenAI’s announcement of the November 21 agreement followed intense pressure from employees and executives, alongside negotiations over the board’s composition and the company’s future governance. The CMA says the staff petition and threat of resignations, Altman, executives and Microsoft all contributed to the outcome; it does not attribute the reversal to Microsoft alone.
OpenAI’s later account of an independent review provides a more detailed explanation of the original rupture. According to OpenAI’s March 2024 summary of WilmerHale’s review, the events stemmed from a breakdown in trust between Altman and the prior board. The summary says the decision was not based on product safety or security, development pace, company finances, or statements to investors, customers or business partners.
That summary also says the board made its decision on an abridged timeline, without advance notice to key stakeholders or giving Altman an opportunity to address its concerns. WilmerHale found that the board acted within its broad discretion, but that Altman’s conduct did not mandate removal. OpenAI says the review examined more than 30,000 documents and included dozens of interviews; this is OpenAI’s published summary, not the full review report.
Quick wins for a faster PC:
Fix the driver behind crashes, sound loss and screen glitchesFind Drivers →Clear out junk files and repair common Windows errorsFree Scan →Scan for outdated or missing drivers - takes under a minuteDriver Scan →What changed when Altman returned?
OpenAI’s November 29 announcement set out the leadership and initial board arrangements:
- Sam Altman returned as CEO.
- Mira Murati returned to her role as CTO after serving as interim CEO.
- Greg Brockman returned as President.
- The initial board comprised Bret Taylor as chair, Larry Summers and Adam D’Angelo.
OpenAI also announced plans for an independent review of recent events and a non-voting Microsoft observer on the board. That observer role was part of the 2023 settlement announcement; it should not be assumed to describe Microsoft’s role today.
Rank #4
Did Microsoft control OpenAI’s board?
The available regulatory account does not support saying Microsoft controlled the board or orchestrated either Altman’s removal or his return. The CMA says Microsoft was not consulted before the firing and had less than an hour’s notice before it became public. Afterward, Microsoft supported Altman’s return, hired him temporarily and offered to employ OpenAI staff.
The CMA’s conclusion was that Microsoft was “an influential actor, rather than a driver of these events.” It also said Microsoft’s input on the new board was not decisive, alongside the contributions of Altman, OpenAI executives and employees. Microsoft CEO Satya Nadella welcomed the November 21 board changes, calling them “a first essential step on a path to more stable, well-informed, and effective governance,” and reaffirmed the partnership.
Free tools Windows power users keep installed
One-click scans. No signup required.
How does OpenAI’s current governance compare with the 2023 crisis?
The 2023 events took place under the governance arrangement then in force. OpenAI’s current structure page says the OpenAI Foundation appoints all OpenAI Group directors and may replace them at any time. It also reports that Microsoft held roughly 27% of OpenAI Group as of the recapitalization closing. That ownership figure describes the arrangement at that closing, not Microsoft’s position during the November 2023 crisis; the company’s live structure page is the source for the current-context information.
Quick Recap
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
