Sam Altman participates in a discussion during the APEC CEO Summit, in San Francisco, Calif., on Nov. 16.Eric Risberg/The Associated Press
Microsoft MSFT-Q snapped up Sam Altman and another architect of OpenAI for a new venture after their sudden departures shocked the artificial intelligence world, leaving the newly installed CEO of the ChatGPT maker to paper over tensions by vowing to investigate Altman’s firing.
The developments Monday come after a weekend of drama and speculation about how the power dynamics would shake out at OpenAI, whose chatbot kicked off the generative AI era by producing humanlike text, images, video and music.
It ended with former Twitch leader Emmett Shear taking over as OpenAI’s interim chief executive and Microsoft announcing it was hiring Altman and OpenAI co-founder and former President Greg Brockman to lead Microsoft’s new advanced AI research team.
Despite the rift between the key players behind ChatGPT and the company they helped build, both Shear and Microsoft Chairman and CEO Satya Nadella said they are committed to their partnership.
Microsoft has invested billions of dollars in the startup and helped provide the computing power to run its AI systems. Nadella wrote on X, formerly known as Twitter, that he was “extremely excited” to bring on the former executives of OpenAI and looked “forward to getting to know” Shear and the rest of the management team.
In a reply on X, Altman said “the mission continues,” while Brockman posted, “We are going to build something new & it will be incredible.”
OpenAI said Friday that Altman was pushed out after a review found he was “not consistently candid in his communications” with the board of directors, which had lost confidence in his ability to lead the company.
In an X post Monday, Shear said he would hire an independent investigator to look into what led up to Altman’s ouster and write a report within 30 days.
“It’s clear that the process and communications around Sam’s removal has been handled very badly, which has seriously damaged our trust,” wrote Shear, who co-founded Twitch, an Amazon-owned livestreaming service popular with video gamers.
He said he also plans in the next month to “reform the management and leadership team in light of recent departures into an effective force” and speak with employees, investors and customers.
After that, Shear said he would “drive changes in the organization,” including “significant governance changes if necessary.”
He noted that the reason behind the board removing Altman was not a “specific disagreement on safety.” It was likely a reference to the debates that have swirled around OpenAI’s mission to safely build AI that is “generally smarter than humans.”
OpenAI last week declined to answer questions on what Altman’s alleged lack of candor was about. Its statement said his behaviour was hindering the board’s ability to exercise its responsibilities.
A key driver of the shakeup, OpenAI’s co-founder, chief scientist and board member Ilya Sutskever, expressed regrets for his participation in the ouster.
“I never intended to harm OpenAI. I love everything we’ve built together and I will do everything I can to reunite the company,” he said Monday on X.
OpenAI didn’t reply to emails Monday seeking comment. A Microsoft representative said the company would not be commenting beyond its CEO’s statement.
After Altman was pushed out, he stirred speculation about coming back into the fold in a series of tweets. He posted a selfie with an OpenAI guest pass Sunday, saying this is “first and last time i ever wear one of these.”
Hours earlier, he tweeted, “i love the openai team so much,” which drew heart replies from Brockman, who quit after Altman was fired, and Mira Murati, OpenAI’s chief technology officer who was initially named as interim CEO.
It’s not clear what transpired between the announcement of Murati’s interim role Friday and Shear’s hiring, though she was among several employees Monday who tweeted, “OpenAI is nothing without its people.” Altman replied to many with heart emojis.
One of OpenAI’s safety-focused researchers, Jan Leike, called on the OpenAI board to resign, saying he had been working all weekend with the company’s leadership team “to help with this crisis.”
The board consists of Sutskever, Quora CEO Adam D’Angelo, tech entrepreneur Tasha McCauley and Helen Toner of the Georgetown Center for Security and Emerging Technology.
Shear said he “took this job because I believe that OpenAI is one of the most important companies currently in existence.”
On a podcast in June, Shear said he’s generally optimistic about technology but has serious concerns about the path of artificial intelligence toward building something “a lot smarter than us” that sets itself on a goal that endangers humans.
“If there is a world where we survive … where we build an AI that’s smarter than humans and survive it, it’s going to be because we built smaller AIs than that, and we actually had as many smart people as we can working on that, and taking the problem seriously,” Shear said in June.
It’s an issue that Altman consistently faced since he helped catapult ChatGPT to global fame. In the past year, he has become Silicon Valley’s most sought-after voice on the promise and potential dangers of artificial intelligence.
He went on a world tour to meet with government officials earlier this year, drawing big crowds at public events as he discussed the risks of AI and attempts to regulate the emerging technology.
“If Microsoft lost Altman he could have gone to Amazon, Google, Apple, or a host of other tech companies craving to get the face of AI globally in their doors,” Daniel Ives, an analyst with Wedbush Securities, said in a research note.
Microsoft is now in an even stronger position on AI, Ives said. Its shares rose nearly 2 per cent before the opening bell and were nearing an all-time high Monday.
The Associated Press and OpenAI have a licensing and technology agreement allowing OpenAI access to part of the AP’s text archives.
TORONTO – Canada Goose Holdings Inc. says it has signed a deal that will result in the creation of its first eyewear collection.
The deal announced on Thursday by the Toronto-based luxury apparel company comes in the form of an exclusive, long-term global licensing agreement with Marchon Eyewear Inc.
The terms and value of the agreement were not disclosed, but Marchon produces eyewear for brands including Lacoste, Nike, Calvin Klein, Ferragamo, Longchamp and Zeiss.
Marchon plans to roll out both sunglasses and optical wear under the Canada Goose name next spring, starting in North America.
Canada Goose says the eyewear will be sold through optical retailers, department stores, Canada Goose shops and its website.
Canada Goose CEO Dani Reiss told The Canadian Press in August that he envisioned his company eventually expanding into eyewear and luggage.
This report by The Canadian Press was first published Sept. 19, 2024.
Almost seven years since news broke of an alleged conspiracy to fix the price of packaged bread across Canada, the saga isn’t over: the Competition Bureau continues to investigate the companies that may have been involved, and two class-action lawsuits continue to work their way through the courts.
Here’s a timeline of key events in the bread price-fixing case.
Oct. 31, 2017: The Competition Bureau says it’s investigating allegations of bread price-fixing and that it was granted search warrants in the case. Several grocers confirm they are co-operating in the probe.
Dec. 19, 2017: Loblaw and George Weston say they participated in an “industry-wide price-fixing arrangement” to raise the price of packaged bread. The companies say they have been co-operating in the Competition Bureau’s investigation since March 2015, when they self-reported to the bureau upon discovering anti-competitive behaviour, and are receiving immunity from prosecution. They announce they are offering $25 gift cards to customers amid the ongoing investigation into alleged bread price-fixing.
Jan. 31, 2018: In court documents, the Competition Bureau says at least $1.50 was added to the price of a loaf of bread between about 2001 and 2016.
Dec. 20, 2019: A class-action lawsuit in a Quebec court against multiple grocers and food companies is certified against a number of companies allegedly involved in bread price-fixing, including Loblaw, George Weston, Metro, Sobeys, Walmart Canada, Canada Bread and Giant Tiger (which have all denied involvement, except for Loblaw and George Weston, which later settled with the plaintiffs).
Dec. 31, 2021: A class-action lawsuit in an Ontario court covering all Canadian residents except those in Quebec who bought packaged bread from a company named in the suit is certified against roughly the same group of companies.
June 21, 2023: Bakery giant Canada Bread Co. is fined $50 million after pleading guilty to four counts of price-fixing under the Competition Act as part of the Competition Bureau’s ongoing investigation.
Oct. 25 2023: Canada Bread files a statement of defence in the Ontario class action denying participating in the alleged conspiracy and saying any anti-competitive behaviour it participated in was at the direction and to the benefit of its then-majority owner Maple Leaf Foods, which is not a defendant in the case (neither is its current owner Grupo Bimbo). Maple Leaf calls Canada Bread’s accusations “baseless.”
Dec. 20, 2023: Metro files new documents in the Ontario class action accusing Loblaw and its parent company George Weston of conspiring to implicate it in the alleged scheme, denying involvement. Sobeys has made a similar claim. The two companies deny the allegations.
July 25, 2024: Loblaw and George Weston say they agreed to pay a combined $500 million to settle both the Ontario and Quebec class-action lawsuits. Loblaw’s share of the settlement includes a $96-million credit for the gift cards it gave out years earlier.
Sept. 12, 2024: Canada Bread files new documents in Ontario court as part of the class action, claiming Maple Leaf used it as a “shield” to avoid liability in the alleged scheme. Maple Leaf was a majority shareholder of Canada Bread until 2014, and the company claims it’s liable for any price-fixing activity. Maple Leaf refutes the claims.
This report by The Canadian Press was first published Sept. 19, 2024.
Companies in this story: (TSX:L, TSX:MFI, TSX:MRU, TSX:EMP.A, TSX:WN)
TORONTO – TD Bank Group, which is mired in a money laundering scandal in the U.S., says chief executive Bharat Masrani will retire next year.
Masrani, who will retire officially on April 10, 2025, says the bank’s, “anti-money laundering challenges,” took place on his watch and he takes full responsibility.
The bank named Raymond Chun, TD’s group head, Canadian personal banking, as his successor.
As part of a transition plan, Chun will become chief operating officer on Nov. 1 before taking over the top job when Masrani steps down at the bank’s annual meeting next year.
TD also announced that Riaz Ahmed, group head, wholesale banking and president and CEO of TD Securities, will retire at the end of January 2025.
TD has taken billions in charges related to ongoing U.S. investigations into the failure of its anti-money laundering program.
This report by The Canadian Press was first published Sept. 19, 2024.
