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Going Rogue
Sam Altman’s Turnaround Strategy for OpenAI
Move fast. Speed is one of your main advantages over large competitors.
Sam Altman, Founder and CEO, OpenAI
Context
In the high-stakes world of Artificial General Intelligence, two figureheads clash fiercely over the direction of AGI and its potential benefits for humanity: Elon Musk and Sam Altman.
Once allies when they co-founded OpenAI with other tech entrepreneurs in 2015, Musk and Altman are now embroiled in a legal and publicity battle.
Musk has accused Altman of going rogue and OpenAI of having abandoned the company’s founding agreement in favour of commercial pursuits.
Yet, when Musk left OpenAI in 2018, Altman, who had long considered Musk his hero, was left to navigate OpenAI through a leadership transition.
Real-Life Story
OpenAI may have begun as a nonprofit with an ambiguous mission. But Altman championed responsible AI development from the start even as the company steered through uncharted waters.
By engaging policymakers and fostering collaborative research initiatives, he sought to anchor AI innovation in ethics. He met global leaders and testified before the US Senate to help shape AI’s regulatory future. More importantly, he brought AI into the public sphere by making its flagship technology, ChatGPT, accessible.
Faced with the high computational demands of AI development, Altman made a bold pivot in 2019, transforming OpenAI from a nonprofit to a “capped profit” corporation. This strategic move allowed it to partner with Microsoft and secure lifeline funding while staying true to its ethical mission.
Altman likened OpenAI’s ambition to the Manhattan Project, underscoring the gravity of its mission to innovate responsibly. He only recruited researchers who treated AGI as a sacred trust and limited his team to “AGI believers” who shared his vision of machines serving humanity, not ruling over it.
Although OpenAI remained committed to the fair distribution of AI benefits, the shift to a for-profit model drew criticism. Detractors questioned whether profit was beginning to cast too long a shadow over altruism.
Altman was both ambitious and pragmatic.
He introduced a professional ChatGPT subscription priced at $200 per month, strengthened OpenAI’s alliance with Microsoft – which has committed a total of $13bn into the venture – and unveiled AI agents designed to “join the workforce”.
All the while, he maintained an open dialogue with stakeholders to rebuild trust, proving that transparency was a cornerstone of his leadership.
Altman’s brief ouster by the OpenAI board in 2023 over alleged transparency failings could have marked a career low. Yet, this setback became a hard-won lesson in governance.
PostScript: OpenAI is experiencing rapid but complex financial growth in 2025. The company has hit significant revenue milestones, with projected earnings of $11.6bn. Yet, it’s also navigating turbulent waters, carrying over an estimated $5bn in losses from the previous year. As Altman keeps OpenAI at the helm of AGI innovation, he envisions a future where everyone has “a personal AI team” of virtual experts, a dream that could revolutionise scientific discovery and business & tech innovation at lightning speed.
Key Lessons
1) Be Comfortable with Criticism
WarTime CEOs like Altman embrace scepticism and use it to refine their strategy. He faced criticism for OpenAI’s shift to a for-profit model but maintained a laser-sharp focus on long-term goals.
2) Pivot Without Losing Core Values
Strategic pivots are essential, but WarTime CEOs understand that their organisation’s core mission must remain intact. OpenAI adjusted its model while retaining its commitment to ethical AI.
3) Simplify Complex Goals
WarTime CEOs break down grand ambitions into actionable steps. Altman’s introduction of professional ChatGPT subscriptions and AI workforce agents reflected a practical approach to achieving OpenAI’s vision.
4) Measure Success Holistically
Financial milestones matter, but so do societal and ethical contributions. Altman’s dual focus on profitability and fairness in AI benefits sets an example for WarTime CEOs.
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Until next week, may the force be with you.
Kevin
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