Its Time To Talk About The Truth Behind OpenAI...

A YouTube monologue (by LARRUZ) analyzing recent turmoil at OpenAI: mass departures of senior researchers and leaders, alleged management problems under Sam Altman, growing burnout and compensation disputes, rushed product launches (example: GPT4O safety testing), and talent recruitment by rivals such as Ilya Sutskever. The speaker argues these changes reflect tensions as OpenAI scaled from a small nonprofit to a large, revenue-focused company and warns the exits could harm its future.
Chapters
So I think it is about time that we actually talk about what is going on at OpenAI. The company has had a tumultuous season with many of their senior researchers and leaders departing for a variety of different events. In this video, I'm going to do an extensive deep dive on what's actually going on at OpenAI. I know that most of you know a few things, but there's been a few articles released in a few days in addition to Mira Marathi leaving, which is why I'm making this video, because there is a lot of new details that reveal exactly why OpenAI has kind of fell apart in the way that it has. So let's not waste any time and dive into exactly what's going on with OpenAI. So recently there were two articles that were released by Vox, by the Wall Street Journal, and by the information. So we have a plethora of news organizations releasing their own proprietary information. With regards to what happened to OpenAI, it was honestly surprising to read all three extensive articles, but they showcase clearly what most of us already know. OpenAI has exploded unexpectedly. And with that explosive growth, they're having a lot of teething problems with the company. And it does bring into question how far this company will succeed and how their future might be. So you can see right here, we have this article that said OpenAI as we knew it is dead. This one was basically referring to the fact that OpenAI's initial promise is no longer the prophets to actually build AGI safely. And of course, we also have this article here, which I'm going to dive into as well, which dives into behind OpenAI's staff churn, the turf wars, the burnout and the compensation demands. A variety of different things that are really, really eye opening, including some tidbits onto why Ilya Satskova left and how they were trying to get him back. In fact, that's actually from the Wall Street Journal article, which I'll talk about in a moment. So one of the things that this article actually speaks about is that it speaks about Sam Altman's management style. It talks about how the board had enough of the rumblings of the AI CEO and about his management style. And one of the things that did become apparent, I think it was earlier this year, was that Altman allegedly operated how he operates, is that he has a tendency to pit other leaders against each other. So this is something that is of course, not really great for the workplace. I'm not exactly sure why this has happened, but if you were someone that has paid attention to this, you'll remember exactly. I'm not sure if it was last year or this year, but we had a situation where we had people like Lantona coming out and basically, basically saying that, look, Sam Altman was lying about this, he was lying about that. This is not true. That is not true.
And just a variety of different pieces.
Of information that were really incredible regarding the true details with the board of OpenAI. And of course, you could see here the members of the board worried that if those tendencies left unchecked could hurt OpenAI's ability to retain key researchers and executives. And of course, a year later, those concerns appear to still be here. And this is quite surprising because you'd think that like a year on from now, Altman's management style potentially would have changed and we wouldn't have seen such a mass exodus from top tier talent from OpenAI. If you're really, really struggling to grasp this situation, how bad it is. If we look at the past 12 months, several of OpenAI's leaders have quit the company, including the key executives. And I gotta be honest, Mira Marathi leaving on Wednesday, which is only two days ago, was incredibly surprising. And Bob McCrew and Barrett Zoe, who work and run the team that prepares new AI models for release, known as post training, also said that they are leaving, which is pretty insane to have key, key individuals of your company leaving, as the company is seemingly doing so well on the exterior. I mean, we do have to take into account that Miramar Marathi's release was quite unexpected because I know most people would think that, you know, okay, we're outsiders, we don't know exactly what's going on in the company. But Sam Altman also put it out there that Mira Maratti's release, who is the cto, well, former cto, she actually said that she was leaving in the morning. So this was something that did actually come as a shock to Sam Altman. Pretty much, you know, a stunning revelation because if you're the CTO of a company, usually you're going to be saying, you know, six months in advance, at least six weeks in advance, you know, because you have such an integral role, it's not like you just up one day and say, okay, I'm gonna leave. So it's quite interesting. And of course, I guess, you know, Amira Moratti did state that when she was leaving, that, hey, look, I'm going to be leaving because I don't want it to be leaked and I don't want it to be at a time where OpenAI isn't on an upswing with the recent releases. So this is the overall picture. I know I spoke about this in another video, but I wanted to show you guys this again because I think it's really, really important to drive home just how insane the situation is at OpenAI in terms of people leaving. I already spoke about this. You know that like nine people have now left the company. I mean, probably like 10 or 12. I mean, in the article it says that there are actually 20. So this is only some notable figures. And the crazy thing about this is that like when we actually take a look at the people who have left OpenAI, when we look at them, they're actually really important individuals. Like having, you know, Leopold Aschenbrenner leave, you know, someone who's on the Super Alignment team, Greg Brockman take a sabbatical, which I'm going to dive into later because there are some stunning revelations about why Grog Breckman actually, you know, is on a sabbatical. And there's also some stunning revelations with regards regarding Ilya Suts, which I'll also talk about later. But I think all of these people like John Shoreman, you know, Andre Karpathy, Leopold Aschenbrenner, you know, the head of developer relations, you know, Ilya Suskava and Mira Moratti, I mean, like, if we were, you know, looking at any other company, I think we would say that, yes, this is definitely not looking good at all. Especially since we've heard, you know, terrible things about Altman's character, about greed, about power, about, you know, all of these different characteristics that kind of give us this sort of mystique in the sense that we don't know whether we can trust him. That's not the kind of, you know, CEO that some people would want to be working for. It is really, really, you know, just this company that seems to, you know, excel in terms of what they're doing, but also the kind of management style, the kinds of things that are going on. It seems like the company is going to just entirely implode soon if things don't make a change. Now thing about this is that you can see right here is that you can see that Altman said Wednesday in a memo that he would, you know, he's going to be involved in more technical product parts of the company and after primarily focusing on the non technical aspects such as fundraising, government relations and business partnerships with Microsoft, Apple and others. And of course, you can see that the company's technical leaders who previously reported to Marathi McGrew will now report to Altman. So we have a pretty abrupt leadership change there. And you can see right here, he says, I obviously won't pretend it's natural for this leadership change to be so abrupt, but we are not a normal company. And it seems like right now the Sam Altman is clearly going into this damage control mode. So last Thursday, in an event which I'm about to show you guys, Sam Altman seemed to downplay the significance of Wednesday's departures. Like I said before, your CTO leaving randomly is not like, it's not like something that you can downplay. That is a huge event. Like, CTO is a huge, it's not like an AI researcher that got upset and left. Even though that's still a big thing, your cto, someone says in the head of management, those kind of decision making areas, it's not something you can really downplay. And he actually said that. I think this will be hopefully a great transition for everyone involved and OpenAI will be stronger for it as we are for all of our transitions. So I'm going to show you guys that clip now. But I don't think you can really downplay your CTO just leaving randomly when so many people have left before. It just, it just looks really bad for being here with us.
Thank you for coming. Thank you for having me.
It's been an eventful 24 hours.
We're used to those at OpenAI, but it has been, yes. So some of our top Mira, who's been our cto, and Bob, our head of research, decided to move on from the company. I'm tremendously grateful for all that they've done. And I, you know, they actually, both of them have been working at OpenAI full time longer than I have. I was still doing Y Combinator work. And you know, they've done, they've gone way above and beyond the call of duty for OpenAI. They've done tremendous work. And one of the things that I love is helping to develop, develop talented people. And then if they want to retire, if they want to do something new, I'm always excited about that. And I think that's sort of a key part of the Silicon Valley ecosystem. In addition to being tremendously grateful for them, I'm very excited to empower a new generation of leaders. Mark Chen, who's going to take over Bob's job, I think it's absolutely tremendous and really excited to work with him. Excited to flatten out the org and get to work more closely with the other technical leaders. I have not been as involved in the tech recently as other things because there's been so much going on. I'm excited to do that. And, you know, I think this will be hopefully a great transition for everyone involved and OpenAI will be, you know, stronger forward as we are for all of our transitions. I saw some stuff that this was like related to a restructure. That's totally not true. Most of the stuff I saw was also just totally wrong. But we have been thinking about that, our board has for almost a year independently as we, we think about what it takes to get to our next stage. But I think this is just about people being ready for new chapters of their lives and a new generation of leadership.
So you can see there exactly what Sam Altman said. Now there's also some other things where, you know, we can talk about burnout. You know, you can see that it's quite incredible how much these people have had to work to extreme degrees.
You can see here it says its researchers are grumbling about how much compensation they should get. And Altman is pushing the company's teams.
To turn breakthroughs into public products as quickly as possible, causing stress as employees.
Work nights and weekends to launch the.
Product on short timelines. Several employees said. And whilst, yes, I guess you could say that this is what comes with working with a tech company, especially companies like OpenAI, the days of just having a tech companies where you have these beanbag filled rooms and you have basically adult daycare and you're paid like quarter of a million a year, those days are over. I still think that this is rather incredible because I think what we're looking at here is a situation where you have a lot of these AI researchers and those are kind of different employees than two traditional tech employees that are used to working incredible hours. And you can see here that this kind of culture of working, doing so much stress, it's difficult because on one hand you have, you know, traditional company culture, which is of course you're supposed to work hard, but at the same time you aren't supposed to get people burnt out to the point where they hate the working culture and they leave the company. And you can see here that those pressures have also actually worn on leaders like Marathi and McCrew said people who work with them. So those things like that kind of culture, of course it's AI, it's going to be really competitive as you know, it moves just a million miles per hour. But those people, they just, you know, it's just not for them.
And of course you can see that.
They've ended up leaving, which is incredible. So actually a little bit surprised that they're having to work so much because what I would have initially thought that is that OpenAI is so much further ahead. But from this, if they're working weekends and trying to rush stuff out the door, and I'm going to show you guys later on and a few articles that OpenAI might not be as ahead as we think, that the door between OpenAI and other companies is slowly closing. And they've had a crazy lead with GPT4. But the thing is now is that they really need to extend that lead and to maintain that lead. It's getting harder and harder because so many other companies are also now in the mix. Now we also have Ilya Sutskova, which is rather fascinating because he's been up to some really incredible things. Of course, if you remember, he went ahead to raise a billion dollars for his OpenAI arrival. And this is of course, you know, part of the reason that OpenAI has had trouble as well. Now another thing that I wanted to talk about is of course, the fact that when we look at OpenAI, we do have to place this company into some context. This isn't me making excuses for OpenAI, but I think it's always important to remain as objective as possible when you're analyzing certain situations. So, for example, with this company, we have to remember that they've gone from, you know, a nonprofit to a 1600 plus employee business, increasingly focused on its, you know, increasing its revenue. And that is pretty incredible because the company has grown so much in such a short space of time. The company is of course going to have people that aren't, you know, I guess you could say, fond of this certain change and some people may wish to leave the company. Now, one thing I want to tell you guys, and this is something that I need to reiterate, something that people tend to forget, is that when we look at how ChatGPT came to be, it was something that was quite remarkable because most people at the company didn't realize how incredible it was going to be.
For example, I picked up this old.
Article from 2021 or 2022 or 2023.
Let'S say late 2022.
And you can see here that, you know, individuals who were at the company at the time basically said that this is incredible. Okay, you can see that. Jan, like former member of the Super Alignment Team said, it's been overwhelming. Honestly, we've been surprised and we've been trying to catch up. John Shulman said I was checking Twitter a lot the days after the release and there was this crazy period where the feed was filling up with ChatGPT screenshots. But I didn't expect it to reach this level of mainstream popularity.
You can also see here that he.
Says, I think it was definitely a.
Surprise for us all how much people began using it.
We work on these models so much.
We forget how surprising they can be.
For the outside world sometimes. Of course, Liam here says that we were definitely surprised how well it was received. There have been so many prior attempts at a general purpose chatbot that I knew the odds were stacked against us. Jan, like here even says, I would like to understand better what's driving all of this. What's driving the virality? We don't understand, we don't know. And the point of this is to frame things. So imagine you have a small company research lab that's focused on developing safe AI. You've done a few things, you've done a few research products before, you've made a few AI agent games and those kind of things that have gone on to do remarkable in their own respective fields. But imagine you just making this chatbot and then the thing is that they put it out as a small research preview. It was just a website that didn't expect to get a ridiculous amount of traffic. And then boom, you have this insane, you know, thing to where it's like the fastest growing app with like 100 million users and like, I'm not sure if it was two weeks, but it was really, really small. So we have an insane amount of people on that app in just a short amount of time. So that is something that we do have to take into account because that is just incredible with how much they blew up. Now when you look at the fact that, okay, this company's just blown up, like November 2022 wasn't that long ago. And since then the companies, it's been like thrust from, you know, 10 miles an hour strolling down the street to like a thousand miles per hour being.
Valued at billions and billions of dollars.
So this is something that, you know, has like, you know, changed the entire, I wouldn't say ethos of the company, but, you know, dynamic of how the company kind of operates. Because previously if you were a researcher there, you wouldn't, you wouldn't have had, you know, product deadlines, you would have been able to work on things, I wouldn't say at a discretion, but like.
The main focus was, you know, you're.
A non profit, you're not Really a company that's making money or just trying to figure out the AGI problem, solve it and share it with everyone. Essentially, we can see here this is where things get more interesting. You can see that, of course, recent claims surrounding Sam Altman's equity, where he was predicted to get around $10 billion as the 7% of OpenAI's valuation, $150 billion would be around $10 billion.
You know, some people were saying that this is ludicrous.
He's basically saying that that is isn't true at all. And I don't know whether or not.
It'S true or not.
There's many articles stating that he's going to get equity.
He's stating that he's not going to get equity.
Either way, I think if he does get equity, it's going to look really awful because.
This tracks back all the.
Way to when OpenAI was initially created. I mean, for example, you can see here, someone said how to make $10 billion, raise $50 million from Elon Musk to start a nonprofit, then tell everyone you're doing this for the sake of humanity and raise billions. And then you can see that Elon Musk here says that this is deeply wrong. If you aren't familiar with the backstory, Elon Musk is the one that helped create OpenAI with $50 million of his own money to start the company. And then of course, on the back end of things, he was kind of like shut out, had disagreements with Altman and now Altman is getting $10 billion of a company that you know, was previously a non profit.
Now this is why it's such a bad issue.
I know I played this before, but I'm going to play it again. It's only 15 seconds, but in this interview, not an interview, was like in this Congress hearing, he was basically saying that, look, I don't have any equity in the company. You know, I'm only doing this because I love it.
Make a lot of money, do you? I make no. I paid enough for health insurance. I have no equity in OpenAI.
Really? Yeah.
You need a lawyer. I need a what? You need a lawyer or an agent? I'm doing this because I love it.
So, yeah, when you have people saying, okay, he's just this, you know, angel who's like, okay, I'm just doing this because I love it. I just want this company to succeed.
And you can see here that, you.
Know the article from Reuters, which is right underneath that says Sam Altman will receive equity in the first, you know, first Time ever.
Of course, people are like, whoa, this.
Guy literally last year said that he didn't want it. So when people now, like seeing this, it doesn't look great. Because there have been numerous accounts of people saying that Sam Altman is Machiavellian. You know, he's like, I don't know what the word is. It's sly and cunning and deceptive. Like, that just looks awful. Especially if you're saying that in the public and then it gets leaked that you're going to be receiving equity. I just think it's just losing trust in the public eye. And this is not something that you want, especially with a powerful technology as AGI. Now, Sam Altman isn't the only one at OpenAI who's having these kinds of issues. There's also an equity problem with individuals and people who are at the company. You've got, for example, compensation demands and all of these things. For example, you can see here that there's compensation demands. It says that another underappreciated factor in the leadership turnover is the persistent demand of key researchers for more compensation. As OpenAI and valuation have soared, ex employees have already cashed out more than $1.2 billion from selling their profit units. So these compensation demands basically refer to asking for higher pay, better financial rewards. Or in the case of OpenAI, as the company has become more and more valuable and its reputation has grown, key researchers and key employees have been basically pushing for better compensation to reflect their contributions. Now, unlike many traditional companies that offer stock or equity, which means employees can own a small part of the company, OpenAI doesn't actually have typical stock options. Instead, these employees actually have profit units.
Which give them a claim to a.
Portion of the company's profits.
And IF and when OpenAI becomes profitable.
And in the past few years, OpenAI employees and former employees have been able.
To sell those units to other investors.
And they're basically trading their future potential profits for immediate cash. And as OpenAI's value has continued to rise, employees see the company's increasing success, and they're basically asking for even more compensation to match this immense growth. And now, of course, you have the pressure from these demands, and it's becoming a factor in the company's leadership changes, because managing these financial expectations, making sure everyone is satisfied with their compensation is a major challenge for a company like OpenAI that is still evolving and doesn't yet operate like a typical business with, of course, these steady profits that they will have. You can literally see here that, you know, they've been in the thick of dealing with people who are, you know, threatening to quit over money and other concerns. So I mean, the problem here is that guys, these researchers are like all star NBA sports stars. Like, they're like the top, top talent. You know, when you're seeing, you know, I'm not sure if you guys watch sports. I don't watch sports that much. But every now and again I'll see a screenshot of like a major soccer style athlete that's traded for like $100 million. That's kind of like what's happening here. I don't think they're like, you know, the transfer values that much, but essentially what you do have is that these researchers are really integral to the company. Like these people that you have at the company, they are the ones driving the research and innovation behind the product.
So you can't have the company without them.
So they actually have a lot of power. And due to that, they're really using their power and their leverage to try and get more for themselves, which is understandable because if you're the one, you know, like a faceless person behind the scenes driving the valuation behind a company, you're going to really want to make sure you're valued for your time. Now, craziest thing about this is that of course you can see OpenAI have brought on some new hires. They've brought on Sarah Fryer, former CEO of publicly traded Nextdoor, to run the company's complex finances as its first chief financial officer, and Kevin Whale, a longtime product leader at the companies such as Twitter and Facebook, to oversee its consumer and enterprise products. Now that's really good because of course, we want to make sure that, you know, OpenAI, as, you know, as people are going out the door, you want to make sure that people are coming in the door because of course, you know, if you're just continually losing people, doesn't seem too bold. Well, now we've got turf wars here. You can see here that it says several people who work directly with Altman, and this is what I was speaking about before, or his lieutenants said that his penchant for allowing turf wars to fester and his avoidance of tough decisions when leaders have asked for more hiring or resources have been factors for the departures. So it says that other leaders such as Brockman and Marathi have sometimes had.
To make the difficult calls Altman has avoided.
So this is one of the reasons why people have left, as you can see right here. Altman, I don't know exactly the details of this, but as they said before, maybe people have been pitted against each other. It's extremely vague. Maybe Altman hasn't been making certain decisions and he's been off, like, around, you know, the world doing these global tours and interviews and making the deals for chips and stuff like that. Whilst Mir Marathi and Greg Brockman are actually at the company, we can see that, that Altman's having to cut his world tour short. Because if you have your CTO leave and Greg Brockman's on sabbatical, you're gonna have to be like, okay, let me actually focus on making sure this company is great. Because what tends to happen, and I read this in a book one time and it was about, basically what happens to certain individuals is that they will.
Have a lot of success.
So, for example, what's happened with OpenAI is that you build ChatGPT, you have a lot of success, and then what happens over the back of that success is that, of course, Samart wants the CEO. He's going to be invited to interviews, they're going to be doing blogs, there's going to be all these AI events around the world. He's going to want to travel, make deals, all of that good stuff. But the thing is, is that if you get distracted by, you know, making deals, going off and doing interviews, going around the world, not actually focusing on the company, you're going to lose the entire company that brought you that amazing lifestyle. It's basically like when you have an athlete that is. And honestly, I'm not trying to do.
Too many athlete references, but if you.
Have like a, you know, superstar who's famous and is flying around the world after being the best at their sport, but they then are not focusing on the actual sport that they're playing. And for entrepreneurs like Sam Altman, this is business. The company falls apart and then everything goes away. So the point here is that, you know, Altman is having to, you know, come back to the company and actually lock in, focus on actually building a great product and great things that people actually want because it's all well and good going around the world and, you know, having these kinds of interviews, but you have to make sure that you're there and, you know, in person, ensuring the company is completely smooth because Greg Brockman's gone, Eli Tatskovit's gone, you know, Mira Moratti, you know, someone who was able to do all these things, you know, she's gone and, you know, several other key individuals are gone. So you have to make sure that, like, you know, this company is going to do extraordinarily well. Now, of course, you can see, like I said before, Maratti and Brockman have actually clashed with each other over the company's AI development plans. You can see right here with one of the reason for the friction was that Brockman, despite his lofty title, was also an individual contributor to project. So if you don't know Brockman is like, he's not like Sam Altman at all. He's not like, he's actually like quite the opposite. He's like a guy who will be in his room coding 12 hours a day. It's actually like a meme on Twitter how like locked in Greg Brockman is.
And when I say locked in, I.
Mean like how focused at work this guy is because he will literally just tweet about coding all the time and he's someone who's very hands on and I guess you could say, you know.
Later on the article you're going to.
See it's almost too much. So you can see right here that one reason that the friction was that Brockman, despite his lofty title, was also an individual contributor to projects. For example, an effort to take early AI research and turn it into working prototypes or products that could handle lots of customers. That at times put him at odds with tech leaders like Moratti, who managed the scores of researchers and, and software developers working on core AI models. Those staff sometimes had their own plans for turning work into products that conflicted with Brockman. So we have this, you know, issues where we've got Brockman that is very hands on, he's very technical and he wants to turn, you know, his research into working prototypes, you know, that could handle customers. And then we have other software developers in the company who are, you know, basically, you know, they're just not agreeing. They're just, there's no like synergy there.
So this is actually part of the.
Reason that, you know, Brookman actually took a leave because there was just so much friction between them and other teams. So it was really, really hard to get them to like, kind of focus. So it's, it's just, it's just incredible. Like this stuff is going on at such a major company. But like I said before, this is why, you know, Brockman is very, very hands on. He's very technical. And this is, you know, something that, you know, kind of caused certain issues within the company. And, you know, I'll show you gu. Now, basically, as we're talking about Brockman, the kind of problem was that Brockman didn't have direct reports but of course, he tended to get involved in any projects he wanted, often frustrating those involved. According to current and former OpenAI employees. They basically said that Brockman, this is why he left. He demanded last minute changes to long planned initiatives, prompting other executives, including Muratti, to intervene to smooth things over. So you have Brockman disagreeing with certain employees about, you know, certain things and certain products, how they're being deployed, what's being offered, and this is, of course causing internal conflict, which isn't great. You don't want to have internal conflicts at a company where you're trying to push the needle forward. I mean, it's quite an issue. And you can see right here that this caused so much, you know, issues that staffers urged Altman to rein in Brookman, saying that his actions demoralized employees and that those concerns persisted through this year when Altman and Brockman agreed that he should take his leave of absence. So basically, Greg Brockman right now is on a sabbatical because I'm guessing that, you know, the issues that they've been facing on the company where he's just, you know, consistently wanting to get involved in certain things, you know, it just wasn't working. And I think that's incredible because we have a situation where someone that wants to, you know, do certain things in the company, I don't know the exact details, but he's, of course left a sabbatical. So it will be interesting to see how this company manages moving forward and the kinds of things that, you know, they get up to. Because I think OpenAI really has some work to do in terms of their organization skills. And so far, I mean, it doesn't look great. And I really hope Greg Brotman comes back because if he doesn't, I don't think OpenAI is going to do well for the foreseeable future. Now, in terms of, of course, people who left, you could also see that the Chief research officer that OpenAI actually left. Okay, you can see that Marathi and McGrew's exits could have wide ranging impacts on the company and standing in the AI race as it develops its large next flagship large language model, Orion. So the crazy thing about this is that these leaders were crucial in coordinating efforts for OpenAI's research and applied organizations. Marathi, for instance, was known to settle disagreements between the company's safety and product teams during launch processes. And Magrun, okay, approved requests from researchers for additional computing resources, a former employee said. And both leaders were involved in decisions to prioritize certain lines of research and to abandon some research products. So these are critical, critical areas. Guys, like, compute was literally. And the craziest thing about this is that, like, you know, approving requests from researchers for additional computing resources. This was also something that was, like, really, really largely one of the reasons that Jan, like, actually left the company, because he just said that there was none approved. And, you know, I'm trying to do research here, and I'm not able to do it. And, of course, if, you know, you don't have someone that's approving the computing resources or someone that's actually, you know, managing this kind of stuff, things really start to fall apart. Especially if you also have someone who's, you know, settling disagreements between safety and product teams during launch processes. That is, of course, one of the biggest things, because you have people that are trying to accelerate with the company. Then, of course, you have the safety people who are like, guys, if you release this product, it's going to cause this amount of damage. We have to be careful. Managing that balance is quite intricate because you also want the company to succeed, but you also don't want the company to release a product too early, and then it results in complete catastrophe. So that's something that is remarkably important. Now, I'm going to show you guys some more stuff because there's so much that's just been revealed. Of course, another thing, and I didn't even know this, but Ilya Sutskeva has actually been poaching employees from OpenAI. You can see efforts by rivals such as Ilya Sutskova's new startup, you know, to recruit OpenAI talent, have exacerbated these talent crises. The hiring attempts have prompted OpenAI's leaders to make generous counteroffers to retain researchers, said another person directly involved in a recent negotiation. Guys, so what we have here is basically a situation where Ilya Suskava, of course, as I mentioned before, he left to start his own company, Safe Superintelligence. But they've been, you know, offering people who work at OpenAI, you know, generous compensation packages to come and work at Safe Superintelligence. And I can't imagine that with how OpenAI has been in terms of, you know, flailing in terms of certain areas. This is, you know, no surprising that some of them may have taken that opportunity, because Safe Superintelligence, I think they got a billion dollars at a $5 billion valuation. I mean, it's not hard to just pay a few of those employees a million dollars, $2 million a year to come and work for a new company when It's a really small company and just have a lot of the other money, you know, going towards compute and resources. So this is rather surprising because it seems like, you know, in this area it's a dog eat dog world. You know, Ilya Satskov is going after OpenAI's employees, which is you, you know, a remarkable thing. Like I honestly didn't even know that this was a thing that was going on. And crazy, crazy, crazy stuff. Okay, is that we also have the non dispatchment agreement. So let me actually find the slide. Well, I can't find the exact slide, but I will move on to talking about the corrupt nature of OpenAI, which some people have spoken about. So others, including AI scientists that have been with the company for years, believe infusions of cash and the prospect of massive profits and of corrupted OpenAI's culture.
And this is something that, like I said before when I was speaking about the start of the video, you have a situation where you have a research company moving to a for profit company. Once money is involved, things always inevitably go wrong because certain individuals are greedy, certain individuals are corrupt. And the problem is, is that you never know until the money starts to show. So I can't imagine what would happen to a small research nonprofit turning into a multi billion dollar tech company that is focus focused on making money in insane deadlines. It's incredible. And with these insane deadlines, what I'm going to show you guys is something here is that this has led to an incredible arms race between Google and OpenAI. You can see right here that OpenAI have been rushing their launches. Surprisingly so, it says. This spring, tensions flared up internally over the development of a new AI model called GPT4O that would power ChatGPT and business products. Researchers were asked to do more comprehensive safety testing than initially planned. But given only nine days to do it. Guys, safety testing usually takes a long time. Like usually safety testing takes like six months, which is why I'm guessing that GPT5 isn't here. But of course GPT4O, I guess they just wanted to completely rush it out because they knew that other companies had models in the bag. Which is why I said AI is developing a lot quicker than we would have had it before. So they were asked to do safety testing than initially planned. But nine days, guys, nine days is insane. You're probably gonna have to work 16 hour days, just 24, seven, until that gets done. Because trying to compress all of that into a short time frame is pretty much borderline impossible. You can see it says executives wanted to debut GPT4O ahead of Google's annual developer conference to take attention from their rival. And this is a true thing. When Google has their events going on, OpenAI always tries to, you know, upshow them or outdo them, which is ridiculously hard to do when it comes to Google. So they've got to like pedal to the metal to make sure that like they can, you know, find out exactly what's going on and release something immediately. And Google did a similar thing before when they released Gemini 1.5 Pro. Now of course you can see right here, like I said before, the staff, the safety staff has worked 20 hour days. Guys, I thought it was 16 hours. They had to work 20 hour days and didn't even have time to double check their work. The initial results based on incomplete Data indicated that GPT4O was safe enough to deploy. So I mean, you know, but before, but after the model launch, people familiar with the project said a subsequent analysis found the model exceeded OpenAI's internal standards for persuasion, defined as the ability to create content that can persuade people to change their beliefs and potentially engage in potentially dangerous or illegal behavior. So you can see right here that, you know, these guys are having to work 20 hour days and not having any time to double check their work. This doesn't seem like the kind of scenario where we're heading to a safe AI future. I mean right now GPT4O is pretty safe in terms of, you know, it's just the fact that it's just a chatbot. But I mean in the future, like if we don't get some kind of. I'm not sure if there's going to be any kind of regulation in the future that, you know, locks this stuff down because companies kind of see AI as like this weapon. So they don't really want to regulate it too much because they don't want to fall behind. Because if Falling behind an AI is like a year is like 10 years, like if you fall behind, you're going to be behind for quite some time. So I think this is too far though. I think if you're at the stage where you don't even have time to double check your work and you're making the safety stuff work 20 hour days, I think that is probably moving too quickly. And you can see right here that this rush to deploy GPT4O was part of a pattern that affected technical leaders like Marathi, the cto. And this is where, you know, we got so many people stating that where is voice mode where is Voice mode? Where is voice mode? The CEO repeatedly delayed the planned launches of products, including search and voice interaction, because she thought they weren't ready. So the thing here is that I think this is, you know, a situation where we have some people at OpenAI that just wanted to do things traditionally and then we have some people that just wanted to push forward, ahead with everything, everything. And you can see that, you know, this is one of the reasons that I'm guessing why Mira Marathi didn't like it because she's delayed the products. Of course some people are going to say, no, these things are ready. And you can see here that, you know, the, the disagreements, you know, this is what happened. So it's incredible. It's. It's really, really incredible how quickly they were trying to move with these products. And I keep telling you guys, like, you know, a lot of people say, oh my God, I can't believe we haven't got this product for months. Guys, you have to understand that, like, this is major breaking AI technology. This is breaking new ground. The fact that we get multiple new models a year is absolutely insane. These things take months in terms of safety testing, post tracing, post training, data collection, safety testing, all of these different things to get a final model. Guys, this stuff is not easy. And I'm telling you guys that we are very lucky to be in this space where we're enamored with all of these AI products that can help our lives in so many ways for a cheap price in terms of relative to what we're actually getting and at the speed we're getting them as well. It is insane. Guys, I feel lucky to be alive at this time. I know some people don't really care that much, but I think this is honestly insane. So of course you can also see here that other senior staffers were also growing unhappy with this. And you can see that John Shulman, another co founder and top scientist, told colleagues he was frustrated over opening eyes, internal conflicts and basically, and I can't believe I forgot this part, but that Ilya, they actually tried to get Ilya back. They went around to his house, they did many different things. And the thing is, is that John Schulman was basically disappointed in the failure to woo back Eli Satskova and of course was concerned about the diminishing importance of its original mission. So basically John Shulman was like, okay.
Of course, you know, we're doing well, yada, yada, yada.
But the point is, is that we.
Don'T have Elias Satkova anymore and we should have at least tried harder to of course make him come back.
And because we haven't been able to do that, I'm currently losing faith in OpenAI's ability to continue. So it's pretty crazy.
Like guys, it's just actually insane that.
We'Re getting this kind of information. Of course the co founder and top scientist actually left OpenAI in August. So this is crazy, guys, this is crazy. I think what we have here is a situation where you have people that are dedicated about their work. You've got these top research scientists, you've got these top executives and they're thinking, okay, I'm working at OpenAI, I'm on a high salary or whatever, I'm doing well, but I'm stressed. There's a lot of fast deadlines, we've got shady management decisions, we've got the fact that this company is growing so quickly, we've got the uncertainness in terms of people keep leaving. Why don't I just keep or sell my equity as profit shares and join a company like Anthropic where I can actually focus on doing effective research.
I can focus on doing things for.
The longer term without having to work 20 hour days and ship out products that are unready and basically leave the Titanic. Because that's why I think that the people who have left OpenAI probably think it is because I think if you know a company's going to do well in the future, I don't think top people would leave at this moment in time. Sure, safety researchers, I completely understand it. But top execs leaving is just not a good sign, especially abruptly. That is a huge major red flag in terms of the kinds of signs if a company is going to be doing well or not.
Me personally, I just think that is.
A really bad sign considering Sam Altman was caught off guard by this decision. So overall, let me know what you guys thought about this video. I think this video was very well needed because there is so much going on at OpenAI and I know this video was a long one. I honestly try to speak as quick as possible. I wish I could have speak louder and currently got a sore throat, which is very frustrating when you're trying to make content. But nevertheless, if you did enjoy this video, let me know what you think about the future of OpenAI. I think the future is not great. I think that, you know, they're between a rock and a hard place. They're trying to maintain the lead and maintain their researchers without stressing everybody out. But you know, it just doesn't seem that things are going in the right direction. I think OpenAI does have a real good shot because they do have proprietary technology such as their models and the fact that they have the brand image. So they will be around for quite some time. But if they manage to mess up continually within over the next years and key researchers continue to leave, then things could get bad pretty, pretty quickly. With that being said, if you guys enjoyed the video, I will see you.
In the next one.










