OpenAI’s Sam Altman fends off ‘painful’ backlash | Business

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OpenAI’s Sam Altman fends off ‘painful’ backlash – Business News

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OpenAI CEO Sam Altman is scrambling to go off a backlash over the tech giant’s deal with the Pentagon — defending it in entrance of employees at a tense all-hands assembly on Tuesday after protesters outdoors its San Francisco headquarters urged workers to stop, The Post has realized.

The AI company introduced its deal on Friday — simply hours after President Trump blasted Anthropic as “leftwing nut jobs” and ordered all federal companies to stop working with them. The deal occurred so fast – and with solely obscure particulars about its construction initially revealed – that Altman himself has admitted it was rushed.

Outside the company’s San Francisco places of work on Monday, a group of activists wrote messages in chalk on the sidewalk ripping the Pentagon deal. The scrawled messages included phrases like “Is it time to quit?” and “Orwell warned us.”

OpenAI CEO Sam Altman speaks to media on the OpenAI information heart in Abilene, Texas, on Sept. 23. REUTERS

Other messages directed at OpenAI workers stated, “Will you spy on your neighbors?” and, “Can America trust you?” in response to footage that circulated on X.

A source close to the scenario questioned whether or not the protest was funded by a rival.

“Turns out, it was artists who had messages on their phones about what to write,” the source instructed The Post. “It wasn’t even real activists.”

At an all-hands assembly on Tuesday, Altman insisted that OpenAI had made the fitting call by agreeing to work with the Pentagon, though he admitted that dashing the initial announcement was a mistake, a second source conversant in the matter stated.

“To try so hard to do the right thing and get so absolutely like, personally crushed for it — and I know this is happening to all of you too, so I feel terrible for subjecting you all to this — is really painful,” Altman stated on the assembly, in response to sources.

At one level during the assembly, an worker quipped that they had been glad OpenAI secured the contract and never Elon Musk’s Grok chatbot, drawing laughter from the group, a source stated.

Anthropic CEO Dario Amodei seems to be on as he takes half in a session on AI during the World Economic Forum annual assembly in Davos on Jan. 23, 2025. AFP through Getty Images

Altman added that the Department of War respects “our expertise on understanding the limitations of technology and where we need restrictions” whereas additionally making it clear that firms shouldn’t weigh in on how technology is deployed in particular operations.

“The thing that they have been extremely clear with us on is, we’ll take general understanding from you all and your expertise about where the technology is a good fit and where it’s not a good fit,” Altman stated. “You do not get to make operational decisions. That belongs with the [War Secretary Pete Hegseth].”

The temper on the assembly was described as respectful, with workers drilling down on the contract’s technical particulars in an effort to know how precisely the partnership will work.

The initial announcement final Friday offered fodder to critics, each inside and out of doors, who’ve long accused OpenAI of being more involved about earnings than security. As of Tuesday, more than 100 present OpenAI workers had signed an open letter urging the company’s executives to “refuse the Department of War’s current demands.” 

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Some OpenAI workers have even voiced their considerations in public, with analysis scientist Aidan McLaughlin writing on X, “I personally don’t think this deal was worth it.”

One source close to the scenario insisted that the response inside the company has been largely constructive – outdoors of a small group of employees who’ve questioned why OpenAI obtained concerned.

“From the internal messages, people are pragmatic and agree that Friday night was perhaps a little rushed and not the best communication,” the particular person stated.

“But now that there is more information, it feels like everybody is generally positive. save for like these like 30 people who are always the ones questioning slash rabble rousing.”

Defense Secretary Pete Hegseth speaks during a press briefing on the Pentagon on Monday. AP

Anthropic miffed Hegseth and different officers after it refused to take away safeguards blocking the US navy from utilizing its AI fashions for mass surveillance of Americans or to energy weapons that may fire with out human oversight. 

OpenAI’s deal contains language guaranteeing protections round those self same pink strains. Since the initial announcement on Friday night, OpenAI and the Pentagon have added further language to their contract language designed to solidify safeguards round navy use.

In an inside memo he later shared on X, Altman stated OpenAI entered talks as a result of it was “genuinely trying to de-escalate things and avoid a much worse outcome, but I think it just looked opportunistic and sloppy.”

“Good learning experience for me as we face higher-stakes decisions in the future,” he added. 

Altman stated he reiterated to Pentagon management that Anthropic shouldn’t be designated as a “supply chain risk” – a label usually reserved for international entities that threaten national security.

“We hope the [Department of War] offers them the same terms we’ve agreed to,” Altman wrote.

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