Microsoft hires OpenAI

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Microsoft CTO Will Match Compensation for Hired OpenAI Employees

November 22, 2023

In the face of potential mass resignations at OpenAI, Microsoft’s chief technology officer, Kevin Scott, has extended a lifeline. Unexpectedly, he has announced plans to match the compensation of the numerous OpenAI employees considering resignation after the abrupt departure of CEO Sam Altman.

While it is unclear whether this proposal hinges on Altman’s employment at Microsoft, Scott’s comments provide insight into Microsoft’s willingness to accommodate employees and the potential number they might recruit.

Justifying the proposed transition, Scott cited a statement by Microsoft CEO Satya Nadella. On Monday morning, Nadella announced that Altman, alongside Greg Brockman, who stepped down as OpenAI’s president, and their team, would be incorporated into a new AI research group within Microsoft. In the aftermath of this announcement, over 600 OpenAI employees penned a letter to the company’s board, threatening to follow their former leaders to Microsoft unless there were board resignations.

“We chose to explicitly partner with OpenAI, and we want to continue to do so. Obviously that depends on the people of OpenAI staying there or coming to Microsoft. So I’m open to both options, but one thing I will not do is stop innovating.”

Satya Nadella, Microsoft CEO, via CNBC

While not confirming Altman and Brockman’s future roles at Microsoft, Nadella’s comments indicate a shift from prior public statements, further adding to the unfolding situation.

According to Axios, insiders privy to the developments revealed that as discussions persist between the OpenAI board and various stakeholders, Microsoft is already in the process of preparing its office and computational resources to accommodate an incoming population of OpenAI employees. Microsoft is also organizing suitable space within LinkedIn’s San Francisco-based offices. These offices are conveniently located just a 10-minute drive away from OpenAI’s primary building, located in the same city.

Furthermore, Microsoft is diligently preparing workspaces, setting up training clusters, and providing Macs to make certain that the potentially transitioning OpenAI workers can integrate smoothly and efficiently. Beyond these logistics, Microsoft has also mobilized its legal and HR teams to facilitate the hiring and onboarding process, assuring a well-coordinated transition.

The future of OpenAI is still shrouded in uncertainty, and Altman’s next career move remains unknown.

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