Nadella disputes Musk’s claim that Microsoft controls OpenAI

Microsoft Claims that Microsoft controls its partner OpenAI “actually above is incorrect”.

Nadella’s remarks came after Elon Musk – teslaTwitter, and SpaceX — which also co-founded OpenAI — claimed in an interview with Tucker Carlson in April that “Microsoft has a strong say, if not direct control over OpenAI, at this point.” Musk has been outspoken. Criticizing recent advances in artificial intelligence, he was one of more than 27,000 people who signed an open letter in March calling for a moratorium on development by AI labs.

“Look, while I have a lot of respect for Elon and everything he’s done, I’m just saying that’s not actually true,” Nadella said. “OpenAI is very serious about its mission controlled by a nonprofit board. We don’t have a controlling stake in it, and we have great commercial partnerships in it.”

OpenAI, the maker of ChatGPT, was founded in 2015 as a nonprofit.The structure changed in 2019 when two executives released a blog post Announced the formation of a “profit cap” entity called OpenAI LP. The current setup limits a startup’s first investors from earning more than 100 times their money, while later investors such as Microsoft earn lower returns.

Microsoft Announce A multiyear, multibillion-dollar investment in OpenAI in January marked the third phase of a partnership between the two companies. In recent months, Microsoft has been integrating OpenAI’s technology, such as GPT-4, into its products and services.

Nadella said the development of artificial intelligence is happening rapidly, but it is important for Microsoft to take advantage of the technology and its promise.

“If anything, I feel like, yes, it’s moving fast, but it’s moving fast in the right direction,” he said. “Humans are in the loop, not out of it. It’s a design choice, at least we’ve made a choice.”

Nadella’s full interview with Sorkin Airs Tuesdays at 10:30 p.m. ET on NBC News Now and Peacock.