Microsoft Stock Hits All Time High After Hiring Ex OpenAI Sam Altman
Microsoft stock rises after former OpenAI CEO joins company, despite employees threatening to quit, following a multi-billion-dollar investment in OpenAI.
Microsoft's stock saw a slight increase on Monday following a weekend of turmoil that saw the former CEO of OpenAI, Sam Altman, appointed to a high-level position at Microsoft. Despite the challenges, many analysts view this move as a positive for Microsoft.
The stock hit a new all-time high share price of $377.10 on Monday, marking a 56% increase year-to-date. However, the appointment of Altman and Brockman was met with further complications as two-thirds of OpenAI's employees threatened to quit unless they were reinstated to their posts.
OpenAI, known for its popular generative AI chatbot ChatGPT, faced upheaval with Altman's sudden firing. This unexpected turn of events led to a failed attempt to bring Altman back, ultimately resulting in the appointment of former Twitch CEO Emmett Shear as an interim replacement.
In January, Microsoft announced a multi-billion-dollar investment in OpenAI, driving optimism about the technology giant's potential to capitalize on the AI craze. This investment propelled Microsoft's shares to their highest-ever level, pushing the company's market capitalization to nearly $3 trillion.
In the generative AI space, OpenAI's main competitor is Anthropic, backed by Amazon and Alphabet, while Alphabet remains one of Microsoft's top rivals overall. Despite the challenges, Microsoft's stock continues to rise, reflecting the company's ability to navigate the complexities of the AI industry.