Sam Altman not to return as OpenAI CEO; Twitch co-founder to take over

Sam Altman, the ousted CEO of prominent AI company OpenAI, will not return to the company, say some media reports. This is amid growing calls from investors for his reinstatement as the CEO of the AI company. The Information has reported that Twitch co-founder Emmett Shear will be the interim CEO. The other day Sam Altman visited the company's San Francisco headquarters. He posted his picture on X, showcasing a guest ID pass, outside the HQ with these words: "First and last time I ever wear one of these." This has sparked rumours that he will return to the company.

The 38-year-old, instrumental in the establishment of the company, faced a loss of confidence from the board, leading to his removal. Nevertheless, both investors and employees are clamouring for Altman's reinstatement.
Altman, along with Greg Brockman, another co-founder who resigned as the company's president, were invited to the headquarters for discussions on Sunday. Although OpenAI has yet to comment on the situation, the firing of Altman, a key figure in the rapidly expanding generative AI field, sent shockwaves globally. The board accused Altman of lacking consistency in communication, hindering its oversight role, without specifying the nature of the alleged lack of candor.

Speculation about potential repercussions, such as Altman establishing a competing company and attracting top talent from OpenAI, adds complexity to the situation. Concerns also arose regarding the impact on an upcoming $86 billion share sale and the displeasure of venture capitalist backers, including tech giant Microsoft, which holds a $10 billion stake in OpenAI.

If Altman makes a comeback, there is speculation that he might push for the formation of a new board of directors. Analysts, including Dan Ives from investment firm Wedbush Securities, expect Altman's reinstatement as OpenAI's chief executive, suggesting that the board's actions may have been an overreach. Ives describes the situation as a "coup attempt" that is likely to backfire, emphasizing Altman's pivotal role in the AI industry, particularly for major investors like Microsoft.

OpenAI, currently enjoying substantial investment, is viewed as a company at its pinnacle, with its widely utilized ChatGPT contributing to its success. Altman, who has been a prominent figure in the company's ascent, is regarded not only as the face of OpenAI but also as a representative of the larger AI industry. His sacking prompted support from influential figures in Silicon Valley, such as former Google CEO Eric Schmidt, who lauded Altman as a "hero" and someone who has "changed our collective world forever."