Sam Altman’s reinstatement as the CEO of OpenAI has triggered a wave of uncertainty and apprehension within the artificial intelligence industry. The events of the past five days have brought significant upheaval to the company, marking a dramatic shift in its leadership and direction.
Altman’s global warnings about the existential perils of the technology that OpenAI develops were underscored by the unique structure of the company, which combined for-profit and non-profit elements as a safeguard against irresponsible AI advancement. However, his recent reinstatement has led to questions about the efficacy of the board in maintaining checks and balances. Toby Ord, a senior research fellow at Oxford University, remarked, “It turns out that they couldn’t fire him, and that was bad.”
The tumultuous leadership reshuffle at OpenAI culminated in a revamped board consisting of established figures in the tech industry and former US secretary of the treasury, Larry Summers. This restructuring has accentuated existing divisions regarding the governance of AI’s future, appealing to different perspectives, from doomsayers to transhumanists, proponents of market capitalism, and advocates of strict regulation.
Toby Ord, also known for co-founding the effective altruism movement, viewed the exposure of the board’s perceived powerlessness as a positive development, stating, “If it’s the case that the nonprofit governance board of OpenAI was fundamentally powerless to actually affect its behavior, then I think that exposing that it was powerless was probably a good thing.”
Governance Gap
The reasons behind Altman’s removal by the board remain shrouded in mystery. The announcement cited Altman’s lack of transparency in his communications with the board as a hindrance to their responsibilities. Despite internal clarifications that his removal was not due to malfeasance, rumors and conspiracy theories have proliferated, including speculation about Altman’s involvement in side projects and allegations of OpenAI possessing artificial general intelligence (AGI).
David Shrier, a professor of practice at Imperial College Business School, emphasized, “What I know with certainty is we don’t have AGI. I know with certainty there was a colossal failure of governance.”