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Apple will not take an observer role on OpenAI's board as part of a deal to integrate ChatGPT into its devices, according to the Financial Times.

open-ai-logo.jpg

Bloomberg last week reported that Apple Fellow and App Store chief Phil Schiller would to take the position as part of its agreement with OpenAI, which will see ChatGPT integrated into iOS 18, iPadOS 18, and macOS Sequoia.

A board observer is an informal board position where the participant is able to attend and contribute to board meetings, but is not allowed to vote and has no control.

However, FT today reported that both Apple and Microsoft have given up their seats as observers on the board, amid increased scrutiny by regulators of Big Tech's investments in AI startups.

OpenAI will instead host regular meetings with partners as part of "a new approach to informing and engaging key strategic partners," an OpenAI spokesperson said. The meetings will be held with Sarah Friar, the company's chief financial officer.

The European Commission last month said it was exploring the possibility of an antitrust investigation into Microsoft and OpenAI's partnership. The U.S. Federal Trade Commission is also looking at investments made by companies including Microsoft, Amazon, and Google into generative AI start-ups.

Apple and OpenAI's deal will see Siri able to hand complicated user requests over to ChatGPT with explicit user permission. OpenAI is not paying Apple to integrate ChatGPT in its operating systems, nor is Apple paying OpenAI. No money is being exchanged under the terms of the arrangement at the current time.

Article Link: Apple Drops OpenAI Board Observer Role Amid Regulatory Scrutiny
 
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antiprotest

macrumors 601
Apr 19, 2010
4,139
14,756
I don’t think you are quite grasping the subtle differences of what is discussed at board meetings and having oversight of OpenAI implementing technology into Apples hardware.
Nah, board members can bring up these things if they want to. And I am not saying members on OpenAI board can dictate what happens on Apple hardware. I am saying how OpenAI will store data sent to them on their own servers.
 

OwlBundy

macrumors newbie
Jun 28, 2019
21
179
Nah, board members can bring up these things if they want to. And I am not saying members on OpenAI board can dictate what happens on Apple hardware. I am saying how OpenAI will store data sent to them on their own servers.
Apple bans some apps that nobody uses or heard of because of where the developer put a link. Apple certainly has ironclad oversight and control of what happens with chatgpt implementation on their hardware. If they don’t approve of data being stored in plain text it’s not going to be.
 

jayryco

macrumors member
Oct 5, 2022
78
236
Seems like a big win for OpenAI? Free integration into Apple's ecosystem seems pretty huge since it cost them nothing versus Google who would've paid BILLIONS for it 🤠
 
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steve09090

macrumors 68020
Aug 12, 2008
2,325
4,433
Then you are on the wrong website. Go to Apple Newsroom if that's what you're looking for.
I think balanced reporting is what I am after. This site does a mix of each, and whilst some stuff is interesting, I’m kind of over 'a person close to the source'. But I get that don’t care about facts, and that’s fine for some. Macrumors is big enough to filter out junk.
 
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hans1972

macrumors 68040
Apr 5, 2010
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I'm not sure how Apple could miss the AI train so many times they had to gamble their privacy-focused reputation.

They don't. You have full control over what's sent to ChatGPT and you can choose not to use it.

Also, privacy ≠ secrecy. Privacy shouldn''t mean that no one gets your data at all but you should be in control of who gets your data.
 

hans1972

macrumors 68040
Apr 5, 2010
3,546
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Now even that little external oversight is gone. Prepare to have everything you send ChatGPT to be stored in plain text.

I don't want my data to be encrypted by an application on a device. Most of the data on my Mac and iPhone should be unencrypted. If the data is encrypted by each application, it means I have to use that application to access my data.
 

LowKeyed

macrumors member
May 27, 2011
50
127
Apple bans some apps that nobody uses or heard of because of where the developer put a link. Apple certainly has ironclad oversight and control of what happens with chatgpt implementation on their hardware. If they don’t approve of data being stored in plain text it’s not going to be.
This might have been true once upon a time. But, Apple never wanted third party app stores on there devices, they were not ready to move to USB-C on all devices, etc... Regulators/legislators for several years now have been making design choices for both Apple's hardware and software. So I don't think "ironclad" is the correct term for Apple's control of the products lines.

That said, I don't think any of Apple's business partners have ever been able to dictate how they implement features. So I'm not at all concerned that Apple won't have anyone in board meetings. They will still be a partner with OpenAI who can walk away if they don't like the terms.

I remain far more concerned with what the world's "brilliant" legislators and regulators are going to require from AI implementations. Especially with the media noise and sensational headlines of "How Could AI Destroy Humanity?" unless some incredibly un-informed and un-qualified lawmakers fix it for us. As I understand it, there is still ongoing debate in the EU about whether to require end-to-end encryption or banning it. So I think it is fair to say that OpenAI is not the group that is mostly likely to requires a crappy implementation.
 

e.clinton

macrumors member
Aug 31, 2020
45
37
Now even that little external oversight is gone. Prepare to have everything you send ChatGPT to be stored in plain text.
LOL. The best thing we can do for OpenAI and Sam Altman is... support their competitors. I cancelled ChatGPT Plus and signed up to Claude instead. Healthy competition in the space will help balance things out. I'm glad Anthropic is doing as well as they are.
 
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