Apple won't get a seat on OpenAI's board after all

Microsoft has resigned its observer seat on ChatGPT maker OpenAI's board, and Apple is expected to pull out too, despite incorporating the AI technology in Apple Intelligence.

Apple had been expected to put Phil Schiller onto OpenAI's board as a non-voting observer, following the two companies partnership in Apple Intelligence. Similarly, Microsoft put an observer in place following 2023's chaotic ousting and then re-hiring of OpenAI CEO Sam Altman.

According to multiple sources including the Financial Times, however, Microsoft has now withdrawn its observer. A source said to have direct knowledge of the matter, says that Apple will no longer take an observer board position.

The move by both Apple and Microsoft is believed to be related to scrutiny by global regulators. In particular, authorities in both the US and the European Union are reportedly examining OpenAI's partnership with Microsoft.

Apple has not confirmed that it will no longer take a seat on the board, nor commented on the report. Microsoft announced its move through a letter to OpenAI, notifying the company that its withdrawal from the board would be "effective immediately."

A spokesperson for OpenAI said that instead of having observers on the board, the firm would host regular meetings with its partners. Those partners include Apple, Microsoft, and investment companies Thrive Capital and Khosla Ventures.

Regarding regulation, OpenAI's Sam Altman has previously said AI was at risk of being over-regulated, particular by the EU. In 2023, He said that OpenAI might quit the EU entirely, because of it.