Microsoft withdraws from OpenAI board amid antitrust scrutiny

In a strategic move to address regulatory concerns, Microsoft has resigned from its observer seat on OpenAI’s board, a move that comes as U.S. and British antitrust regulators scrutinize Microsoft’s influence over the fast-growing AI startup.

Microsoft’s observer role, which provided non-voting access to confidential board discussions, had been seen as a potential mechanism for regulatory scrutiny despite the company’s significant investment in OpenAI. The position was originally filled in November after OpenAI CEO Sam Altman returned to leadership.

In a July 9 letter, Microsoft cited OpenAI’s recent successes and growing customer base as reasons for the withdrawal, saying it had confidence in the startup’s direction. The move could ease regulatory pressure and underscore OpenAI’s independence.

(Disclaimer: Based on information obtained from the agency.)