San Fransico, March 1: ChatGPT-developer OpenAI plans to appoint new board members in this month amid the ongoing regulatory troubles. In November, the OpenAI board fired Sam Altman due to differences of opinion on AI security in November 2023. They said Sam Altman needed to be more candid with the board. After that incident, he was restored to the company CEO position due to the employees and other global pressures.
According to the report by The Washington Post, OpenAI will replace and appoint several new members to the board due to the regulatory trouble mounting. The report said that the Securities and Exchange Commission is looking into whether the company's investors were misled. After OpenAI's previous board decided to fire Sam Altman in late 2023, the report said there was a "furious backlash" from employees and investors for days.
According to the report, the OpenAI CEO Sam Altman is under investigation by the US SEC (Securities and Exchange Commission) for misleading the company's investors. The report said that as a part of the SEC investigation, the OpenAI employees are told to save their emails and messages. As per The Washington Post report, it is unclear why the SEC has been probing the companies, but it said it usually does that without launching charges. Elon Musk Sues OpenAI and Its CEO Sam Altman Over Breaching Original Contractual Agreement Around AI.
On the other hand, the report also mentioned that OpenAI has been looked into by the European Union about Microsoft's investment in the company, which could reportedly fall under the bloc's merger laws. The report further said that the US FTC has also been looking into the partnership of OpenAI and Microsoft to determine whether the ChatGPT AI chatbot leaked the users' data. 'Japan Will Disappear if ..': Elon Musk Raises Concern After Country's Birth Rate Hits Record Low.
In addition to these ongoing investigations, OpenAI has reportedly been sued by news organisations and authors for using their articles and books to train the AI without permission or payment. Further, the report said that WilmerHale, a law firm, was also hired to investigate the firing of Sam Altman and leadership issues. Amid these ongoing crisis, Tesla and SpaceX CEO Elon Musk has also sued OpenAI for breaching the agreements over AI.
(The above story first appeared on LatestLY on Mar 01, 2024 04:46 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).