How the chaos at ChatGPT maker OpenAI has unfolded as ousted CEO Sam Altman returns – and why it matters
Sam Altman – the public face of ChatGPT maker OpenAI – has returned to the company just days after his shock ousting.
Not being “consistently candid in his communications” was the charge laid at his feet by the board when the stunning decision to remove him was announced on Friday.
But within days, the 38-year-old was tipped for a return, those who toppled him seemingly harbouring second thoughts after the company president walked out and staff threatened to follow.
And now, less than a week later, he is indeed back.
Given Mr Altman and OpenAI are at the forefront of the AI revolution, the sense of Succession-style chaos should concern us all.
Here’s everything we know – and why it matters.
Shock departure
Mr Altman’s sacking was announced in an unassuming OpenAI press release.
Coming just weeks after he’d represented the firm at the UK’s AI Safety Summit, and days after appearing at the company’s first conference for third-party developers, the timing was a shock.
The board was said to have “lost confidence” in him due to unspecified communications issues.
In this case, the board had meant just four people – including OpenAI’s chief scientist Ilya Sutskever, who had reportedly become concerned that Altman was prioritising company growth over AI safety.
Members five and six – Mr Altman himself and then-president Greg Brockman – opposed it but were outvoted.
“I loved my time at OpenAI,” Mr Altman posted on X as the news broke, describing it as “transformative”.
“Will have more to say about what’s next later.”
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OpenAI CEO Sam Altman at summit
The immediate fallout
OpenAI made chief technology officer Mira Murati interim CEO.
But as hundreds of staff made their displeasure about Altman’s sacking known, she made attempts to secure his stunning return to stave off the revolt.
“OpenAI is nothing without its people,” many employees wrote together on X – including Ms Murati herself.
Mr Altman was reportedly keen on the idea of returning. His brother Jack, also a start-up CEO, of HR firm Lattice, warned his detractors they were “betting against the wrong guy”.
But by Sunday, Mr Altman and Mr Brockman had joined OpenAI investor Microsoft to lead an AI research team.
Bloomberg reported the tech giant’s CEO Satya Nadella was “furious” and blindsided about the ousting.
OpenAI responded by hiring Emmett Shear, the former boss of streaming site Twitch, as Mr Altman’s replacement.
But the sense of panic at OpenAI was obvious, as more than 500 employees signed a letter threatening to quit.
Nothing encapsulated the chaos more than Mr Sutskever signing, saying he “deeply regrets” the board’s decision.
Altman’s homecoming
Despite joining Microsoft, Mr Altman left the door open for a return to OpenAI.
The two companies were already closely aligned, with the Windows maker investing $10bn in it earlier this year and using its GPT tech to reinvent its Bing search engine and Office products.
According to tech news site The Verge, citing multiple sources, Mr Altman and Mr Brockman were willing to return to OpenAI if the board members who staged the coup walked away.
Mr Nadella told CNBC “it’s very, very clear something has to change around governance”.
“We’ll have a good dialogue with their board on that,” he said.
Mr Altman suggested he’d stay involved with OpenAI in some capacity, posting: “We are all going to work together some way or other, and I’m so excited.”
OpenAI announced his return “in principle” on Wednesday morning (UK time) – and Mr Altman seemed to have got his way.
The company said there would be a “new initial board” of Bret Taylor, Larry Summers, and Adam D’Angelo.
“We are collaborating to figure out the details. Thank you so much for your patience through this,” it added.
Mr Summers is a former US treasury secretary, while Mr Taylor – the new chair – co-created Google Maps.
Mr Brockman will also be returning to the company.
What happens now?
Mr Altman has suggested his return means he won’t be working at Microsoft after all.
Mr Nadella appeared fine with that, saying he was “encouraged” by the changes to OpenAI’s board.
As for the old board, Mr Sutskever may be hoping his quick change of tact keeps him on side.
And then there’s Mr Shear, who will go down in history as one of Silicon Valley’s shortest-lived CEOs.
The executive, a previously self-professed AI “doomer” who has warned of its existential threat to humanity, had claimed he was not told why Mr Altman was dismissed.
“I am deeply pleased by this result,” he said of Mr Altman’s return.
“I’m glad to have been a part of the solution.”
ChatGPT launched in November 2022
Why the future of OpenAI matters
The San Francisco-based company has been around since 2015 and even then had some big names on its books, including Elon Musk.
He and Mr Altman were the first people on the board to guide the firm’s quest to develop “safe and beneficial” artificial general intelligence, which refers to super-powerful AI capable of outperforming humans in a number of tasks
But it wasn’t until November 2022 that OpenAI was thrust into mainstream attention thanks to ChatGPT, attracting more than 100 million users in just a few months.
With AI tipped to have a similarly transformative impact on the world as the Industrial Revolution, Mr Altman has been rubbing shoulders with some of the world’s most powerful politicians as he looks to help shape potential regulation.
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Mr Altman hasn’t been shy of warning about the risks of AI, but is undoubtedly committed to pushing the boundaries and, perhaps more significantly to the drama of recent days, maximising its commercial potential.
The OpenAI developer conference he appeared at before his sacking was all about empowering third parties to leverage the firm’s GPT tech in their products – even building their own digital assistants.
And in September, the Financial Times reported ex-Apple designer Jony Ive was in talks with OpenAI to build the “iPhone of AI”.
Such projects would go against OpenAI’s non-profit origins. The firm launched a profit-focused arm in 2019, but it didn’t go down well with some of its original investors – including Musk, who quit.
Swapping Mr Altman for Mr Shear, who previously said he’s “in favour of slowing down” AI development, looked like a sign OpenAI wanted to return to its roots.
One thing we should all hope slows down is the drama surrounding Mr Altman’s employment – a saga not even ChatGPT could have written, and one that sent one of the world’s most influential companies into meltdown.
It could be diplomatic dynamite.
The first meeting between a sitting US and Russian president in more than four years, following one of the bleakest periods in the history of their countries’ bilateral relations.
But a Putin–Trump summit does not necessarily mean there will be a ceasefire.
Ukraine war latest: Kremlin aide’s full statement on Trump-Putin talks
On the one hand, it could signal that a point of agreement has been reached and a face-to-face meeting is needed to seal the deal.
That has always been Russia’s stance. It’s consistently said it would only meet at a presidential level if there’s something to agree on.
On the other hand, there might not be anything substantive. It might just be for show.
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‘Good chance’ Trump will meet Putin soon
It might just be the latest attempt by the Kremlin to diffuse Donald Trump’s anger and dodge his deadline to end the war by Friday or face sanctions.
It would give Trump something that can be presented as progress, but in reality, it delivers anything but.
After all, there has certainly not been any sign that Moscow is willing to soften its negotiating position or step back from its goals on the battlefield.
Tellingly, perhaps, it’s this latter view which has been taken by some of the Russian press on Thursday.
Donald Trump and Vladimir Putin have not met face to face since the US president returned to the White House. File pic: Reuters
“Putin won” is the headline in Moskovsky Komsomolets regarding the Kremlin leader’s meeting with Witkoff.
The state-run tabloid quotes a political scientist, Marat Bashirov, who claims Putin “bought time” ahead of Friday’s deadline.
“It is noteworthy that in his rhetoric [on sanctions] Trump did not mention Russia at all,” the paper notes.
Komsomolskaya Pravda is similarly dismissive.
“Donald Trump has two simple interests in connection with Ukraine: to earn money for America, and political whistles and the Nobel Peace Prize for himself,” it says.
“Russia has its own interests,” it adds, “securing them is what Vladimir Putin will seek at a meeting with Trump.”
At this stage, the most likely location is the United Arab Emirates. Putin met the country’s president in the Kremlin today, and afterwards said it would be a “suitable location”. It felt like a strong hint.
And the UAE certainly makes sense.
It’s played mediator for a number of the prisoner swaps between Russia and Ukraine; it has good relations with the US (and was one of Trump’s stops on his recent Middle East tour); and most importantly for Moscow, it’s not a member of the International Criminal Court. So Putin doesn’t have to worry about being arrested.
But if NBC’s reports are correct, that a Putin-Trump summit is conditional on the Russian president meeting with Ukrainian leader Volodymyr Zelenskyy, then the summit may not happen at all.
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Until now, Putin has refused to meet Zelenskyy, despite numerous demands from Kyiv, because he views him as illegitimate.
The Kremlin said the prospect of a trilateral meeting between the leaders was mentioned by Witkoff on Wednesday, but the proposal was left “completely without comment” by Russia.
GPT-5, the long-awaited upgrade to the ChatGPT AI chatbot, has been released by its maker OpenAI.
It has been one of the most highly anticipated launches in Silicon Valley after OpenAI’s first offering ChatGPT – powered by its GPT-3 model – kick-started the current AI boom in late 2022.
“GPT-3 sort of felt like talking to a high school student,” said Sam Altman, OpenAI’s chief executive.
“GPT-4, maybe it was like talking to a college student. But with GPT-5, now it’s like talking to an expert, a PhD-level expert in anything, any area you need, on demand.”
At the launch event, OpenAI claimed the new chatbot, which will be released to all ChatGPT users on Thursday, was more than a simple upgrade to its previous offerings.
According to OpenAI, the new model exceeds the chatbot competition from the likes of Google, X and Antropic on “benchmarks” – standardised tests used to rank models.
OpenAI claims it has been designed to be easier and more natural to communicate with, better at writing prose and advanced computer code, solving academic questions from mathematics to law, assisting with healthcare-related questions, as well as being safer than its predecessors.
“It’s an incredible superpower on demand,” claimed Mr Altman.
GPT-5. Pic: OpenAI
The model is also more intelligent in how it uses its own brain power – and therefore an expensive computing resource – according to OpenAI.
It is a hybrid of previous chatbots and slower, more computing-intensive “reasoning” models like OpenAI’s Deep Research.
Based on a user’s request, the model will decide how much “thinking” is required before answering, rather than requiring the user to switch between different models.
GPT-5. Pic: OpenAI
Although AI enthusiasts who had been expecting GPT-5 to represent “artificial general intelligence [AGI]” will be disappointed.
Despite this being OpenAI’s stated goal, Mr Altman billed GPT-5 as a “major upgrade” to GPT-4 and a “significant step along the path to AGI”.
But they’re clearly not there yet.
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July: ‘ChatGPT is the partner I always wanted’
A real test of GPT-5 will be whether it sells.
OpenAI is projected to spend $8bn (£6bn) this year, on top of $5bn (£3.7bn) last year, and while it is expected to make a profit this year, the business case for increasingly powerful AI models is still not clear to many investors.
Given a single training run for GPT-5 is rumoured to have cost $500m (£373m), there will be an expectation the new model is significantly more useful to business users.
Despite a very slick demonstration of its coding skills at the launch presentation, where it built an online language learning game in seconds, GPT-5 will have to prove its worth for professional coding.
Many in the tech industry prefer Anthropic AI’s Claude model to write code. OpenAI and its investors will be hoping GPT-5 changes that.
AI experts will also be testing GPT-5’s tendency to “hallucinate”, an issue OpenAI claims to have improved with GPT-5.
But erroneous or bizarre answers are a problem that dogs all large generative AI models.
“Shiny things are always fun to play with, and I fully expect GPT-5 to be the shiniest so far,” said Gary Marcus, a cognitive scientist at New York University and AI commentator.
“But that doesn’t mean that it is a critical step on the optimal path to AI that we can trust,” Mr Marcus added in a post.
Dean Cain has been branded the “worst superman ever” as he announced he will join the US Immigration and Customs Enforcement (ICE) “ASAP”.
The 59-year-old, who was cast as Superman in the TV series Lois & Clark: The New Adventures of Superman, announced he had joined the team amid the federal agency’s unprecedented immigration raids.
He told Fox News on Wednesday his recruitment video on Instagram had gone viral and since then, “I have spoken with some of the officials over at ICE and I will be sworn in as an ICE agent ASAP”.
“You can defend your homeland and get great benefits,” he said in the Instagram post where he appealed for his followers to join ICE.
Speaking with the Superman theme song in the background, he said “hundreds of thousands of criminals” had been arrested since US President Donald Trump took office.
He then told his followers they would get a series of benefits if they joined ICE, including a $50,000 (£37,407) signing bonus and student loan repayment.
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“If you want to help save America ICE is arresting the worst of the worst and removing them from America’s streets,” he said, before adding: “I voted for that.”
ICE agents are under pressure from the White House to boost their deportation numbers in line with Mr Trump’s campaign promise to crack down on illegal immigration.
Cain’s post on Instagram received some backlash, with one user commenting: “Worst superman ever”.
Another said: “Shame on you Dean – that’s the most un-Superman thing you could possibly advocate.”
One fan turned against him and said: “Until I saw this I was such a fan. What a sad human being you must be.”
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