If Sam Altman joins Microsoft, Microsoft will essentially acquire all of OpenAI.

On November 17, 2023 local time, OpenAI, known as the developer of chat AI and ChatGPT, suddenly

announced the resignation and departure of CEO Sam Altman . After that, Microsoft announced that it would welcome Mr. Altman , but Ben Thompson, an analyst who runs the web media Stratechery, is analyzing why this series of moves occurred.

OpenAI’s Misalignment and Microsoft’s Gain – Stratechery by Ben Thompson

Since 2019, Microsoft has supported OpenAI's AI development by investing hundreds of billions of yen in OpenAI, building a supercomputer for AI development, and providing computing resources. .

Microsoft invests more than 100 billion yen in OpenAI to develop artificial general intelligence (AGI) - GIGAZINE

On the other hand, Microsoft has acquired a perpetual license for all of OpenAI's intellectual property (IP), including model source code and weights, and uses it in its own services as OpenAI develops new models. The original agreement prohibited Microsoft from using OpenAI's data to develop its own general-purpose artificial intelligence, but the latest agreement lifts those restrictions, Thompson said. states.

It is reported that Microsoft will soon announce a new AI tool equipped with GPT-4 for Microsoft 365 - GIGAZINE

In this cooperative relationship between Microsoft and OpenAI, Microsoft has asked, ``If key members such as former CEO Sam Altman and former president Greg Brockman leave OpenAI, will there be talent who can utilize OpenAI's technology? '', Thompson analyzed. By joining Microsoft, Sam Altman will be able to solve these concerns and develop his own AI using OpenAI's technology, which is effectively the same as Microsoft acquiring OpenAI for free. says Thompson.

Mr. Thompson also analyzes why this movement occurred. OpenAI was founded in 2015 as a non-profit intelligence research company by Sam Altman, Elon Musk, and others. OpenAI not only claims to be nonprofit, but is actually certified as a nonprofit organization with preferential tax treatment , as stated in its first application in 2016.

OpenAI's goal is to advance digital intelligence in ways that are most likely to benefit humanity as a whole, unconstrained by the need to generate financial profit. We believe that artificial intelligence technology will help shape the 21st century, and we want to help the world build secure AI technology and ensure that the benefits of AI are distributed as widely and equally as possible. We are looking to build AI as part of a larger community, and we want to openly share our plans and capabilities along the way.

However, after two years, the promise to ``openly share plans and capabilities in the development process of AI'' will be rescinded, and after three years, the goal of ``advancing digital intelligence'' will be replaced with ``building artificial general intelligence.'' And so on, things changed.

In 2018, when Elon Musk, its largest donor, resigned from the board, OpenAI was forced to pay huge computing costs, so it launched a capped for-profit company, OpenAI Global, LLC, and took over from Microsoft. We are now receiving investment.

While supporting the development of OpenAI, Microsoft has incorporated OpenAI technology into various Microsoft products, including Windows and Office. In March 2023, Microsoft has spent over tens of billions of yen to build a supercomputer for AI development, and Microsoft will be the first company to make such a huge expenditure on a non-profit organization.It will be announced that Sam Altman will join the company. Thompson said it seemed ridiculous until then.

Microsoft spends tens of billions of yen to build a supercomputer for AI development for OpenAI, the developer of ChatGPT - GIGAZINE

Thompson said, ``Microsoft CEO Satya Nadella said, ``The way for large companies to win is not by inventing things like startups, but by leveraging their size to acquire companies and quickly follow them up.'' They probably think it would be even better if they could achieve it at a low price of 0 yen.''

At the time of writing, Mr. Altman's transfer to Microsoft has not been confirmed, and Mr. Altman has indicated his intention to return to OpenAI on the condition that the directors involved in the decision to dismiss him resign.

Sam Altman is still aiming to return to OpenAI and his transfer to Microsoft is on hold, suggesting he will return to OpenAI if all directors who supported his dismissal leave - GIGAZINE

in Note,   Software, Posted by log1d_ts