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Indicted FTX founder Sam Bankman-Fried arrives at the United States Courthouse in New York City, July 26, 2023.

Amr Alfiky | Reuters

Prosecutors have decided not to pursue a second trial against disgraced FTX founder Sam Bankman-Fried.

In a note to Judge Lewis Kaplan on Friday, the U.S. government explained that the decision to forego a second set of proceedings had to do with the fact that much of the evidence that would have been presented in a second trial had already been submitted to the Court during Bankman-Fried’s first criminal trial.

In November, following a month’s worth of testimony from nearly 20 witnesses, a jury found the former FTX chief executive guilty of all seven criminal counts against him following a few hours of deliberation. Prosecutors added that the Court could consider the hundreds of exhibits already entered into evidence during these proceedings when he is sentenced next year.

Read more on FTX founder Sam Bankman-Fried

“Given that practical reality, and the strong public interest in a prompt resolution of this matter, the Government intends to proceed to sentencing on the counts for which the defendant was convicted at trial,” continued the letter to Judge Kaplan.

Bankman-Fried, the 31-year old son of two Stanford legal scholars and graduate of the Massachusetts Institute of Technology, was convicted of wire fraud and conspiracy to commit wire fraud against FTX customers and against Alameda Research lenders, conspiracy to commit securities fraud and conspiracy to commit commodities fraud against FTX investors, and conspiracy to commit money laundering.

He had pleaded not guilty to the charges, which were all tied to the collapse of FTX and its sister hedge fund Alameda late last year.

The second trial, which had been slated to start in March, addressed an additional set of criminal counts, including conspiracy to bribe foreign officials, conspiracy to commit bank fraud, conspiracy to operate an unlicensed money transmitting business and substantive securities fraud and commodities fraud. 

Damian Williams, the U.S. attorney for the Southern District of New York, wrote in the letter to the Court that “a second trial would not affect the United States Sentencing Guidelines range for the defendant, because the Court can already consider all of this conduct as relevant conduct when sentencing him for the counts that he was found guilty of at the initial trial.”

So now, the question of prison time goes to Judge Kaplan.

The sentencing date is March 28 at 9:30 a.m. ET. The FTX founder faces more than 100 years in prison.

Government exhibit in the case against former FTX CEO Sam Bankman-Fried.

Source: SDNY

Decades behind bars

That the jury was able to reach a unanimous verdict in a just few hours suggests that they were truly convinced and that there were no holdouts that needed to be coaxed, Yesha Yadav, law professor and Associate Dean at Vanderbilt University, told CNBC in November.

“This overwhelming consensus should give the judge confidence to follow the jury’s decisiveness by imposing a more severe sentence than a lighter one,” continued Yadav.

In this case, the statutory maximum sentence is around 115 years, but there is a sliding scale for sentencing according to recommended guidelines given the scale of the crimes and the criminal history of the defendant.

“I wouldn’t be surprised if SBF spends the next 20 or 25 years of his life in prison,” Renato Mariotti, a former prosecutor in the U.S. Justice Department’s Securities and Commodities Fraud Section, told CNBC.

“The sheer scale of his fraud was immense, he was defiant and lied on the witness stand, and Judge Kaplan had very little patience for his antics while out on bond. He will have more sympathy for the victims than he has for Bankman-Fried,” added Mariotti.

Caroline Ellison, former chief executive officer of Alameda Research LLC, leaves Manhattan Federal Court after testifying during the trial of FTX CEO Sam Bankman-Fried, on October 10, 2023 in New York City. 

Michael M. Santiago | Getty Images

In August, Judge Kaplan revoked Bankman-Fried’s bail and sent him back to jail for witness tampering.

“The federal sentencing guidelines will likely be sky high, but they are just that — guidelines — and the judge is required to consider all of the circumstances surrounding SBF and his offense,” said Mariotti.

Yadav added that the issue of sentencing is governed by guidelines that look to factors such as how many have been harmed and the overall dollar quantum, as well as the seriousness of the damage a defendant has inflicted.

“Here, there are some factors that could push the judge toward a very lengthy prison term, possibly close to the 110 years that the sentencing guidelines suggest,” said Yadav.

The sentence will come down to what the judge believes is sufficient to punish Bankman-Fried, deter others, and promote respect for the law, Yadav added.

Former Assistant U.S. Attorney Kevin J. O’Brien, who specializes in white-collar criminal defense in NYC, thinks Bankman-Fried has the chance at a shorter sentence, telling CNBC, “Since judges have discretion even under the Guidelines, I believe his sentence will be in the 15 to 20 year range.”

O’Brien added that given Bankman Fried’s age, he thinks the judge will be inclined to give him a chance to live a full life after his prison term.

Bankman-Fried’s case has been compared with that of Elizabeth Holmes, founder of medical device company Theranos, which ceased operations in 2018.

Holmes, 39, was convicted in early 2022 on four counts of defrauding investors in Theranos after testifying in her own defense. She was sentenced to more than 11 years in prison, and began serving her punishment in May at a minimum-security facility in Bryan, Texas.

But former federal prosecutor Paul Tuchmann tells CNBC that he expects harsher terms for the former FTX CEO, because “the amount of losses that were suffered is simply staggering.”

Tuchmann compared Bankman-Fried’s case to that of Bernie Madoff, who was sentenced to 150 years in prison.

“Like Madoff, a lot of the losses in this case were small investors. They weren’t all large institutions, which really tends to create a greater pressure for a significant sentence,” said Tuchmann.

“Certainly, there may be some mitigation here. Sam Bankman-Fried is very young. The judge may take that into consideration. Bernie Madoff went to jail for 150 years when he was obviously much older – with limited productive years left,” Yadav said of the Madoff comparison.

“Sam Bankman-Fried still has an opportunity to make some kind of positive contribution during his lifetime. His crimes are also not violent in nature,” continued Yadav.

Prosecution in Sam Bankman-Fried trial wrapping up in coming days

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Amazon shareholders reject proposal to split CEO and chair roles

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Amazon shareholders reject proposal to split CEO and chair roles

Amazon CEO Andy Jassy speaks during an unveiling event in New York on Feb. 26, 2025.

Michael Nagle | Bloomberg | Getty Images

Amazon shareholders rejected a proposal to adopt a policy that would require the company’s CEO and board chair roles to remain separate.

Vote totals disclosed in a filing Thursday show about 82% of shareholders rejected the proposal. The independent proposal was submitted alongside seven others at Amazon’s annual meeting on Wednesday. Each of the independent proposals were rejected.

Amazon split the roles of CEO and board chair when founder Jeff Bezos turned the helm over to Andy Jassy in 2021. As part of the transition, Bezos retained the title of executive chairman.

The proposal sought to codify that structure within Amazon “like the majority of S&P 500 companies,” advocacy group the Accountability Board wrote in its submission. The group argued that the split structure allows the board to focus on corporate governance and oversight, while the CEO focuses on the company’s business.

“With the positions currently separated, now would be an opportune time to do so,” the proxy states.

Shareholder proposals seeking the separation of board chair and CEO roles have been on the rise in recent years. The number of such proposals increased 113% among Russell 3000 companies in the first half of 2023, the highest level in the past decade, according to the Harvard Law School Forum on Corporate Governance.

Amazon urged shareholders to vote against the proposal, saying the current policy enables the board to determine the right leadership for the company “in light of our specific circumstances at any given time.”

The separation in 2021 came “after careful consideration” of Amazon’s leadership structure and functions, the company wrote in its recommendation.

“In light of our success through these various leadership structures, the board believes that shareholders are better served by the board retaining the ability to adapt to our evolving needs and implement the optimal leadership structure at any given time,” Amazon wrote in the filing.

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Microsoft employees say emails with ‘Gaza,’ ‘Palestine,’ or ‘genocide’ won’t send

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Microsoft employees say emails with 'Gaza,' 'Palestine,' or 'genocide' won't send

Security officers block entrance doors after pro-Palestinian protesters attempted to enter the Microsoft Build conference at the Seattle Convention Center Arch building in Seattle, Washington on May 19, 2025.

Jason Redmond | Afp | Getty Images

Microsoft employees are concerned that the company has been blocking Outlook emails containing the words “Palestine,” “Gaza,” “genocide,” “apartheid” and “IOF off Azure,” even if they’re including those terms in an HR complaint, according to screenshots, recordings and documents viewed by CNBC.

Employees said they started noticing the change Wednesday just before noon PST, batch-testing emails with the terms in question and emails without them. Only the ones without such terms appeared in their outboxes, suggesting those containing the terms weren’t received, according to materials viewed by CNBC and three sources familiar with the matter.

The people asked not to be named in order to speak freely.

One employee with the word “apartheid” in their email signature, who spoke on condition of anonymity for fear of retaliation, said they sent a typical work-related email around 11:30 a.m. PST on Wednesday successfully. The person said that just before noon on the same day, their emails wouldn’t go through — ostensibly due to their email signature.

On internal message boards, messages seen by CNBC showed employees asking why their emails with the word “Israel” may go through but not the word “Palestine,” as well as “Gaza” and other terms. Modifications like “P4lestine” did go through, according to their tests.

One employee asked on an internal message board, “Is the company abandoning the inclusivity initiative or is this only targeting Palestinians and their allies?”

The Verge was first to report on the potential email block.

In a message seen by CNBC, Frank Shaw, Microsoft’s chief communications officer, responded to an employee post, writing: “To clarify, emails are not being blocked or censored, unless they are being sent to large numbers of random distribution groups. There can be a small delay and the team is working to make that as short as possible.”

“Over the past couple of days, a number of emails have been sent to tens of thousands of employees across the company and we have taken measures to try and reduce those emails to those that have not opted in,” a Microsoft spokesperson said in a statement.

But employees told CNBC that even when they attempted to send relatively mundane, solely work-related emails to small groups of colleagues, the emails still didn’t go through if they contained those terms.

Another employee who spoke on condition of anonymity said that when they attempted to send a report to HR containing one of the terms in question, they did not receive the auto-response typically confirming receipt until more than 24 hours later. The message also didn’t show up in the online HR portal until more than 24 hours later.

Some emails were delivered after being delayed by seven hours or more, according to the group No Azure for Apartheid. The group suggested manual reviews of such emails were taking place before they were delivered.

Microsoft protests

Microsoft has seen a growing number of protests at recent events over the Israeli military’s use of the company’s AI products. Protesters have also sent emails to the company’s executives outlining their concerns.

At Microsoft’s Build developer conference in Seattle this week, protesters interrupted executives during keynote speeches and sessions.

On Tuesday, protesters interrupted the Microsoft Build session on best AI security practices, singling out Sarah Bird, Microsoft’s head of responsible AI, who was co-hosting the session with Microsoft AI security chief Neta Haiby.

Haiby was formerly a member of the Israel Defense Forces, according to a Tumblr page viewed by CNBC.

“Sarah Bird, you are whitewashing the crimes of Microsoft in Palestine,” Hossam Nasr, an organizer with the group No Azure for Apartheid, said.

Nasr was one of the Microsoft employees terminated last year after planning a vigil for Palestinians killed in Gaza.

Earlier on Tuesday during another Microsoft Build session, an unnamed Palestinian tech worker disrupted a speech by Jay Parikh, Microsoft’s head of CoreAI.

“Jay, you are complicit in the genocide in Gaza,” the tech worker, who did not wish to share their name for fear of retaliation, said. “My people are suffering because of you. How dare you. How dare you talk about AI when my people are suffering. Cut ties with Israel.”

The worker then called to “free Palestine” and said, “No Azure for apartheid,” a nod to the group and its petition.

A demonstrator is removed from the audience as they interrupt a presentation by Microsoft Chairman and CEO Satya Nadella at the Microsoft Build 2025 conference in Seattle, Washington on May 19, 2025.

Jason Redmond | AFP | Getty Images

On Monday, Microsoft software engineer Joe Lopez interrupted CEO Satya Nadella’s keynote speech onstage, saying, “Satya, how about you show them how Microsoft is killing Palestinians? How about you show them how Israeli war crimes are powered by Azure?”

Lopez was later fired, according to a document viewed by CNBC that stated the reason as, “misconduct resulting in the violation of both company policy and our expectations of a respectful workplace.”

The document said Lopez would be ineligible to return to Microsoft as an employee, contractor, or in any other capacity, including an employee of a Microsoft partner, customer or other third party.

At Microsoft’s 50th anniversary event last month, two Microsoft software engineers publicly protested the use of the company’s AI by the Israeli military during executive presentations. The roles of both employees, Ibtihal Aboussad and Vaniya Agrawal, were terminated soon after, according to documents viewed by CNBC.

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OpenAI CFO says AI hardware will boost ChatGPT subscriptions in ‘new era of computing’

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OpenAI CFO says AI hardware will boost ChatGPT subscriptions in 'new era of computing'

OpenAI CFO on acquisition of Jony Ive's startup: Hardware is a part of next value-add for OpenAI

OpenAI is betting a new “era” of computing will justify the company’s decision to spend billions of dollars on bespoke hardware to go with it, Chief Financial Officer Sarah Friar said.

The artificial intelligence startup, best known for the ChatGPT chatbot, announced plans on Wednesday to buy iPhone designer Jony Ive’s devices startup io for about $6.4 billion. Ive’s company was founded roughly a year ago and doesn’t have a product on the market.

Friar told CNBC on Thursday that any startup as young as io was “hard to value.” But she sees an eventual return on that investment.

“You’re really betting on great people and beyond,” Friar said. “It’s not just about imagining what a new platform could look like — you’ve got to be able to craft it. You’ve got to be able to build it. You’ve got to be able to understand supply chains.”

Friar, who took the CFO job at OpenAI last summer and was formerly CEO of Nextdoor, said new devices will eventually get OpenAI’s technology in the hands of more users, and drive subscription growth and attach rates. ChatGPT last reported 500 million weekly active users, but monthly actives are higher, Friar said.

“When you start thinking about it beyond just a phone, it starts to grab the imagination,” she said. “If we can get people around the world excited to use AI, we have many ways to begin to think of a business model around that. So it could be an ongoing, bigger subscription for ChatGPT.”

Friar’s comments echo others in the tech industry who have said AI hardware could change the face of computing, and threaten the iPhone. Eddy Cue, Apple’s chief of services, said earlier this month that he believes AI devices could replace the iPhone within ten years.

While OpenAI works with Apple on an iPhone and Siri integration, Friar said the company still saw a need to have its own proprietary devices.

“We want to work with many partners. When we single-thread ourselves, we don’t think that drives max innovation,” Friar said. “We continue to work closely with Apple on their device, and we’d love to see more being done with AI — but we also want to keep sparking innovation broadly in the ecosystem.”

Friar hinted at new devices without touchscreens. She declined to give details around what exactly they might look like, pointing to the former Apple team’s secretive culture and “mystique” around products.

“As you birth this new era of AI, there’s going to be new platforms and new substrate,” she said. “We think of tech today as a little bit more around touch. We as humans, we see things, we hear things, we talk. And our models are great at that.”

WATCH: CNBC’s full interview with OpenAI CFO Sarah Friar

Watch CNBC's full interview with OpenAI CFO Sarah Friar

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