By Axios | Created at 2024-09-27 02:45:09 | Updated at 2024-09-30 07:19:21
3 days ago
OpenAI's chief financial officer told workers that investor interest in the company's massive funding round was "incredibly high" as part of an effort to reassure them after a wave of high-profile departures, a source familiar with the situation told Axios.
Why it matters: Staffers were caught off guard at the exit of CTO Mira Murati followed by a news cycle driven by the company's potential push to become a for-profit business.
- Murati's departure, conveyed to Altman Wednesday morning and announced in the afternoon, was followed by the announcement of two other exits: Bob McGrew, chief research officer, and Barret Zoph, VP of research.
Zoom in: Company executives — including CEO Sam Altman (appearing remotely from Italy), CFO Sarah Friar and Murati — spoke at a half-hour staff meeting on Thursday that included a question and answer session.
- Altman and other executives also talked about their enthusiasm for the company's direction and future.
- He thanked Murati and recognized the leaders who are being elevated, including Mark Chen, who has been promoted to senior VP of research and Jakub Pachocki, who was named chief scientist in May.
- Friar said she couldn't go into details about the fundraising effort, but said it was "very oversubscribed and market-defining" — a testament to both the round's size and the demand among investors to take part, according to a source. She also said investors are "wowed by the OpenAI o1-preview."
Zoom out: In addition to the current funding effort, OpenAI's board is considering whether to move its business further away from its nonprofit roots as well as potentially granting significant equity to Altman.
- There is a clause that would allow those who invest in the new round to ask for their money back if OpenAI doesn't revamp its corporate structure within two years, according to a source.
