What Sam Altman’s Firing Means for AI Businesses (trouble ahead…)

What Sam Altman’s Firing Means for AI Businesses (trouble ahead…)

March 16, 2024
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Author: Big Y

The Fallout of OpenAI CEO Sam Alman's Departure and Microsoft's Hiring

In the world of artificial intelligence, the recent news of OpenAI CEO Sam Alman's departure and subsequent hiring by Microsoft has sent shockwaves throughout the industry. As AI business owners, it's important to understand the implications of this move and how it will affect our businesses in the years to come. In this article, we'll break down what happened, why it happened, and most importantly, the three major repercussions for us as AI business owners.

The Departure of Sam Alman and Greg Brockman

The OpenAI board recently voted to remove Sam Alman as CEO, along with chairman Greg Brockman. In their place, the co-founder of Twitch, Imit Shar, has been appointed as the new CEO. However, the more important question for us is why this happened. While we wait for official statements from the parties involved, the evidence points to a clash in leadership between Ilia Sutskever and the Sam and Greg duo. This is a fight between the two camps of research led by Elliot and product led by Sam.

The Departure from OpenAI's Original Mission

The reason for this clash is attributed largely to OpenAI's departure from its original mission of ensuring that artificial general intelligence benefits all of humanity. The company was founded as a nonprofit research lab, but the recent Dev Day demonstrated a clear departure from this. The concept of revenue sharing on the GPT store seems to be the most glaring example of this. There are also rumors of safety concerns, with Ilia and the board seeing the recent releases as moving too fast for such a potentially dangerous technology.

The Three Major Repercussions for AI Business Owners

The recent OpenAI Dev Day was clearly the straw that broke the camel's back. Therefore, the spotlight is on these recent releases for changes or even outright withdrawal of features. As mentioned, releasing GPTs to the public and the idea of revenue sharing for the upcoming GPT store could have been the red line that was crossed here. The fact that Chat GPT Plus, which allows people to create their own GPTs, has stopped accepting new users could be the first step in this crackdown on GPTs as we've come to know them.

The potential with the diversification of the AI industry away from one behemoth that 99% of all AI apps are being built with will have massive repercussions. The possibility of the AI market becoming a chessboard with no kings would change the landscape for us as AI business owners significantly, especially when it comes down to how we build our solutions. Particularly in the kinds of models and tools that we use, our solutions may need to be more able to chop and change between competing models more easily, which really highlights a massive new need in the market for what's called model-agnostic tooling.

The Potential Slowing of New Feature Releases from OpenAI

Another key repercussion for AI business owners is the potential slowing of new feature releases from OpenAI. If Ilia has won over the board and has directed the ship back towards its original focus, this will mean a significant reallocation of resources back to his side of the business and drying up the funds that have enabled rapid creation of the models and updates like GPTs and the assistance API.

Conclusion

In conclusion, the AI space is up in the air right now with Sam and Greg going off to join Microsoft. We are entering a new era that will involve significant change, but with this, as always, there will come huge new opportunities for us as early birds to establish our businesses and make money. If you're an aspiring AI entrepreneur and want to stay up to date on how you can capitalize on these opportunities as they come, be sure to subscribe to the channel.

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