Microsoft and Apple Step Down from OpenAI Board Seats

Regulatory Scrutiny Intensifies
In November last year, Microsoft invested $13 billion in OpenAI and secured an observer seat on the OpenAI board. This position granted Microsoft access to attend OpenAI's board meetings, confidential information, and the right to share a portion of OpenAI subsidiaries' profits within certain limits. However, Microsoft did not hold traditional equity in OpenAI and lacked voting rights in matters such as elections or director selections.
Microsoft aimed to leverage OpenAI's services to propel the growth of its Windows and Copilot AI platforms. Nevertheless, as regulatory pressures mounted, antitrust organizations began to express concerns over OpenAI's independence, perceiving Microsoft's influence over OpenAI as excessive.
Last month, European regulators announced an investigation into Microsoft's competitors regarding OpenAI's exclusive use of its technology. Additionally, the Federal Trade Commission in the United States is examining whether Microsoft failed to adequately notify antitrust authorities about its deal with Inflection AI.

Microsoft and Apple Part Ways
In a letter to OpenAI dated July 9th, Microsoft stated that given OpenAI's current robust development trajectory, its observer role had fulfilled its historical purpose:
"Over the past eight months, we have witnessed significant progress made by the newly formed board and are confident in the company's direction. In light of all this, we no longer consider our limited role as an observer to be necessary."
Microsoft further emphasized its continued collaboration with OpenAI, which expressed gratitude for the decision and looked forward to a successful partnership. According to OpenAI's website, it remains a fully independent company governed by the OpenAI Nonprofit.
Meanwhile, Apple announced on the 3rd of this month that it had secured an "observer" status on the OpenAI board.