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From Bloomberg’s Matt Levine: “Like, the status as of this morning really does seem to be that Sam Altman has been fired by OpenAI, that he plans to go work at Microsoft (OpenAI’s biggest investor and partner), and that he is going to take the large majority of OpenAI’s employees with him. What … what do everyone’s contracts look like here? Like: When Microsoft signed its deal with OpenAI, did it agree to any sort of non-compete or non-solicit, like, “you won’t hire away our employees”? Does Altman have any sort of non-solicit, like, “if you leave you won’t hire everyone else”? Do the employees have any sort of non-disclosure agreements, like, “if you leave you won’t take our proprietary technology with you”? Perhaps this one doesn’t matter, since Microsoft has a license to OpenAI’s intellectual property: The OpenAI employees can leave, take nothing with them, and then go work at Microsoft and have access to everything they left behind. But Bloomberg’s Austin Carr reports that “any employees who do join Microsoft can’t simply replicate the work they were doing on OpenAI properties like GPT-5 without inviting a nightmare of claims over trade-secret theft.” Coming from the world of finance, all of this feels odd to me; ordinarily there would be contracts preventing a company’s biggest customer from hiring its CEO and him then bringing over his whole team to build the same cutting-edge technology they were building at the company. Here, I guess, there aren’t? Everyone just trusted each other? Seems like a mistake.”
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