Microsoft shares rise as Sam Altman joins tech giant
Pre US market open, shares in Microsoft gained after the company’s chief executive announced that Sam Altman will be joining its new AI team.
It comes after Altman was fired by the OpenAI board on Friday, the company which he co-founded with Greg Brockman, who was also pushed out. It turns out Brockman is moving over to Microsoft with Altman too after the board were said to be concerned about the company’s pace of AI expansion. Meanwhile the former boss of Twitch, Emmett Shear, has taken over the chief executive role at the ChatGPT maker, OpenAI. Despite the changes, Microsoft said the tech giant “remains committed” to its partnership with OpenAI.
(AI Video Summary)
Microsoft's AI team shakeup
Microsoft stocks soared today after the exciting news that Sam Altman, the co-founder of OpenAI, will be joining Microsoft's impressive new AI team. Altman and his colleague Greg Brockman were recently let go by OpenAI due to concerns about the company's progress in AI development. But don't worry, Microsoft's CEO reassured everyone that the partnership with OpenAI is still going strong. Microsoft's stock has been steadily rising, jumping up 2.41% in the IT platform and an impressive 60% since the year began.
Shuffles at OpenAI too
The upward surge in Microsoft's stock can be partly credited to Altman and Brockman joining their AI team. Altman's departure from OpenAI, and Twitch's Emmett Shear now taking over the CEO role there, sparked curiosity about the future of OpenAI. However, Microsoft's move to hire Altman and Brockman shows their strong desire to elevate their AI capabilities by attracting top talent.
The concerns raised by OpenAI's board regarding the pace of AI expansion within the company may have motivated Altman and Brockman to explore new opportunities. This aligns perfectly with Microsoft's focus on developing and integrating AI across their products and services. By having experienced leaders like Altman and Brockman on their team, Microsoft hopes to strengthen their AI department and secure their competitive position in the fast-paced AI market.
Microsoft and OpenAI partnership remains intact
Despite the leadership changes at OpenAI, Microsoft's loyalty and commitment to their partnership with OpenAI remain unshaken. This shows just how important cooperation and collaboration are to Microsoft, as they see the value in harnessing external expertise to drive their AI initiatives forward. With the global AI market projected to grow significantly in the coming years, Microsoft's strategic moves to acquire top talents could pave the way for their continued success in this exciting field. Investors are certainly optimistic about Microsoft's prospects in the AI sector, and their positive sentiment is reflected in the rise of Microsoft's stock price.
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