Microsoft rebounds with new research lab after OpenAI board shakeup By Investing.com

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Microsoft rebounds with new research lab after OpenAI board shakeup

Published Nov 20, 2023 08:44AM ET

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Microsoft rebounds with new research lab after OpenAI board shakeup

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In a series of strategic moves following Sam Altman's departure from OpenAI, Microsoft (NASDAQ:MSFT) has seen significant corporate developments over the past few days, culminating in today's premarket stock recovery. The tech giant's shares took a hit on Friday when news of Altman’s exit led to a stock decline of over 2 percent, impacting the company's market valuation near the $3 trillion mark. This was notably influenced by Microsoft's substantial $13 billion investment in the artificial intelligence firm.

Over the weekend, Microsoft took action to address the situation at OpenAI's board level. By Sunday, CEO Satya Nadella had announced a significant shift in strategy, revealing that Microsoft would incorporate both Altman and Greg Brockman into leadership roles within a newly established advanced research lab. This move signals Microsoft’s continued dedication to innovation in the AI space.

The appointments have been well-received by market analysts, as evidenced by Microsoft’s stock rebounding in today's premarket trading.

In the wake of these changes, Emmett Shear has taken on the role of interim CEO at OpenAI following Mira Murati’s brief tenure after Altman was ousted. The quick succession of leadership adjustments at OpenAI contrasts with Microsoft’s swift actions to stabilize and steer its AI ambitions through internal restructuring and talent integration.

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