[HN Gopher] Helen Toner shares her side
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       Helen Toner shares her side
        
       Author : Leary
       Score  : 65 points
       Date   : 2023-12-07 18:17 UTC (4 hours ago)
        
 (HTM) web link (www.wsj.com)
 (TXT) w3m dump (www.wsj.com)
        
       | purrgers wrote:
       | https://archive.is/gAkKC
        
       | isubkhankulov wrote:
       | It's interesting that she was threatened with being held
       | responsible for violating a fiduciary duty for the for-profit
       | entity while she was sitting on the non-profit board.
       | 
       | Going fwd, I wonder why they cannot convert the structure to a
       | traditional c-corp. Supposedly: "tax issues".
       | 
       | Whatever problems OpenAI dealt with last week, the current non-
       | profit structure will continue to cause future problems IMO.
        
         | mrkramer wrote:
         | Microsoft should acquire them and cut the non-profit crap.
        
           | happytiger wrote:
           | Isn't that basically what is happening with a few extra
           | steps?
        
             | mrkramer wrote:
             | Yes....it's actually Microsoft vs Google AI arms race,
             | that's why Google went all in with their LLM technology.
        
               | mistrial9 wrote:
               | > cut the non-profit crap
               | 
               | Great learning opportunity for those that have not taken
               | time to learn and understand non-profit structures in the
               | USA.
               | 
               | this is clearly an opportunity for the uninformed to
               | study the US non-profit system, unique in the world. For
               | example, I recall a delegation from Japan touring the HQ
               | of a non-profit educational group in San Francisco. Like
               | the p-poster here, they apparently had _no clue_ why or
               | how capable people could come together and form stable
               | work culture aside from  "hierarchical, profit motive in
               | USD$" (.. and people did actual work, unlike many
               | management level stock manipulators).
        
               | mrkramer wrote:
               | I'm from southeast Europe and I graduated from IB high
               | school programme[0], it is an international Swiss based
               | educational programme that prepares you to study abroad
               | and it is a non-profit. As a non-profit they are
               | efficient af at what they do but in the world of
               | technological innovations, incentives are so much higher
               | and so much more impactful when an organization is for-
               | profit.
               | 
               | [0]
               | https://en.wikipedia.org/wiki/International_Baccalaureate
        
         | Havoc wrote:
         | > fiduciary duty for the for-profit entity
         | 
         | I read it as both. If OpenAI collapses operationally then the
         | non profit fails at its mission too. That's the board she is on
         | and that's the fiduciary duty relevant
         | 
         | (She may also be on the for profit board idk)
        
           | stcredzero wrote:
           | In the current legal framework, isn't the reality, _fiduciary
           | uber alles_?
        
         | dragonwriter wrote:
         | > Going fwd, I wonder why they cannot convert the structure to
         | a traditional c-corp. Supposedly: "tax issues".
         | 
         | Because, IIRC, when a charity nonprofit like OpenAI, Inc.-- a
         | 501(c)(3), other nonprofits are different -- converts to a for-
         | profit (C-corp or otherwise doesn't matter), all the assets
         | acquired while it was a charity must either remain dedicated to
         | and used exclusively for the charitable purpose, be returned,
         | _or_ be donated to charity (or sold, and then the proceeds
         | treated the same way.) For the charity OpenAI, Inc., this would
         | include its interest in OpenAI, LLC (the wholly owned
         | subsidiary through which it exercises control of OpenAI, LP and
         | OpenAI Global, LLC -- the latter being the for profit entity
         | that actually sells product, etc.), and OpenAI, LP (the holding
         | company which in turn is majority owner of OpenAI Global, LLC).
        
           | gnulinux wrote:
           | Just curious: can they legally sell all their assets to
           | themselves (i.e. OpenAI nonprofit sells it to for-profit
           | OpenAI Inc. for market price real $$$) and then use that $$$
           | for charitable purposes. Would this satisfy IRS by letting
           | them retain the intellectual property rights?
        
             | yieldcrv wrote:
             | self dealing regulations are to prevent that.
             | 
             | also OpenAI Inc. for profit doesnt exist, a wholly owned
             | LLC subsidiary does. so they would need to divest of that
             | LLC first (by selling the shares)
             | 
             | the way around the self dealing regulations are to reduce
             | their ownership below 20% - 35% (yes, its that range, for
             | multiple reasons)
             | 
             | good thing here is that most venture backed companies
             | subvert this already by simply share dilution and youre
             | breaking into one the best secrets of Silicon Valley. Non-
             | profits pump the value of startups and launder the
             | reputation of the founders because their ideas get so much
             | "validation" so quickly. (non profits they partially
             | control act as lead investors for startups they control.
             | they both sell shares at higher price, ideally: founders
             | get QSBS tax free treatment, non profit retains tax free
             | capital gains too. nothing wrong with that, you just
             | probably cant do it too)
             | 
             | so open ai for profit llc needs to get rid of the PPU's and
             | bring in outside investors to dilute ownership enough, but
             | two birds one stone: the outside investors have to get a
             | higher valuation
        
               | dragonwriter wrote:
               | > also OpenAI Inc. for profit doesnt exist, a wholly
               | owned LLC subsidiary does.
               | 
               | The for-profit "OpenAI" (OpenAI Global LLC) is not a
               | wholly-owned subsidiary of anything, it is majority owned
               | by a holding company (OpenAI, LP), which in turn is
               | majority owned by the OpenAI charity (OpenAI, Inc.)
               | 
               | There is a wholly owned LLC subsidiary of the charity
               | (OpenAI GP, LLC), but that is the entity through which
               | OpenAI, Inc., exercises control of OpenAI, LP and OpenAI
               | Global, LLC (why it doesn't do so directly for OpenAI,
               | LP, and either directly or via OpenAI, LP, for OpenAI
               | Global, LLC, don't ask me), it is not the for-profit.
               | 
               | Both OpenAI, LP, and OpenAI Global, LLC have other
               | investors (Microsoft being a big one for OpenAI Globla,
               | LLC) already.
        
               | yieldcrv wrote:
               | I thought you were being sarcastic at first, but thanks
               | for breaking that down
               | 
               | one explanation is "blockers". basically regulations
               | imposed on one kind of entity such as the non profit,
               | fail when there is one degree of separation via a
               | "blocker" entity.
               | 
               | LP's can have undisclosed silent limited partners,
               | intentionally less flexible than an LLC which can do the
               | same
        
       | nerdo wrote:
       | > Toner maintains that safety wasn't the reason the board wanted
       | to fire Altman. Rather, it was a lack of trust
       | 
       | > Toner declined to provide specific details on why she and the
       | three others voted to fire Altman from OpenAI
       | 
       | Does she see herself as more trustworthy? She can't even be
       | bothered to give an excuse for the firing.
       | 
       | Someone like this couldn't be trusted in literally any function,
       | how did she get a board seat on OpenAI?
        
         | gnulinux wrote:
         | > how did she get a board seat on OpenAI?
         | 
         | She's _the_ leading academic on the issue of AI safety. It 's
         | really ridiculous people don't even know her name and say
         | random things about her, not realizing she's a rock star in her
         | field.
         | 
         | Her leaving the board is a tremendous loss for OpenAI, about as
         | terrible as Ilya leaving the board. These are two giants of AI
         | currently.
        
           | edgyquant wrote:
           | > the leading academic on the issue of AI safety.
           | 
           | Sounds like a made up position to me. Just another bureaucrat
           | with a cool sounding name
        
             | reducesuffering wrote:
             | Why don't you reserve your ignorant judgement until you do
             | due diligence?
             | 
             | https://scholar.google.com/citations?user=NNnQg0MAAAAJ&hl=e
             | n
        
           | saberience wrote:
           | What impact has she made? What has she built? Did she
           | actually make AI safer? If so, how did she do it? Are current
           | AI models safer because of her?
           | 
           | It sounds like someone who talked a lot but didn't actually
           | create anything, change anything, or make anyone's lives
           | better.
           | 
           | Happy to revise my perspective if someone can provide any
           | concrete data on her impact.
        
             | magpi3 wrote:
             | > What impact has she made? What has she built? Did she
             | actually make AI safer?
             | 
             | She was on the board that fired Sam Altman, that had the
             | courage to fire Sam Altman, presumably (according to the
             | article at least) because he is a liar and she and three
             | other board members did not trust him to be loyal to the
             | non-profit's mission of working to keep AI safe.
        
           | AlbertCory wrote:
           | > she's a rock star in her field
           | 
           | I don't think "rock star" is quite the right term.
           | 
           | Unless you think David Geffen or Lester Bangs are rock stars.
           | Normally rock stars sing or play an instrument. Someone who
           | got a nice title in a nonprofit by _writing_ about rock is
           | not a rock star.
        
           | FuriouslyAdrift wrote:
           | She's a lobbyist or policy wonk, not a researcher.
           | 
           | Yann LeCun is a leading academic...
        
         | protastus wrote:
         | > Does she see herself as more trustworthy? She can't even be
         | bothered to give an excuse for the firing.
         | 
         | I agree that outsiders can't weigh in on this topic without
         | statements from the board.
         | 
         | But as the (former) board member of a private organization,
         | she's not accountable to the public. Making statements about
         | why she fired Altman can carry substantial legal risk.
        
         | lacker wrote:
         | > how did she get a board seat on OpenAI?
         | 
         | She replaced Holden Karnofsky as a representative of the
         | "effective altruist" group, Open Philanthropy, who donated
         | money early on to OpenAI.
         | 
         | From the article:
         | 
         | "She succeeded her former manager from Open Philanthropy,
         | Holden Karnofsky, on the OpenAI board in 2021 after he stepped
         | down. His wife co-founded OpenAI rival Anthropic."
        
       | chewmieser wrote:
       | She specifically declines in the article to provide the
       | additional context that would probably clarify everything. This
       | is just more non-answers and only a tad more information than we
       | had before (threats of violating a fiduciary duty).
       | 
       | Nobody involved is being transparent about what went down here.
       | Not sure we'll find out the full story here...
        
         | tfehring wrote:
         | It's frustrating, but she's exposed to potentially massive
         | personal liability for the board's actions. I'm surprised that
         | she agreed to an interview at all - frankly, I probably
         | wouldn't if I were in her position - and I'm sure her answers
         | were carefully scripted and run by her attorney(s).
         | 
         | I think this Reddit comment captures the most plausible story
         | at this point:
         | https://www.reddit.com/r/MachineLearning/comments/1812w04/co...
        
           | chewmieser wrote:
           | That's great, thanks for the link there. Seems plausible
           | enough to fill in the blanks.
        
         | calf wrote:
         | Article does give context as to what "inconsistently candid"
         | meant: Altman allegedly went to each board member to say some
         | negative things about Toner, but when board members got
         | together to verify consistency they found out Altman said a
         | false or misleading thing to at least one board member about
         | Toner.
         | 
         | That's not a good look on Altman at all, it looks like Altman
         | was using divide-and-conquer in a skeezy way, spreading around
         | negative impression, even rumors, about his bosses, as a means
         | dispose of a problem.
        
       | Leary wrote:
       | Key passage:
       | 
       | "Altman approached other board members, trying to convince each
       | to fire Toner. Later, some board members swapped notes on their
       | individual discussions with Altman. The group concluded that in
       | one discussion with a board member, Altman left a misleading
       | perception that another member thought Toner should leave, the
       | people said. By this point, several of OpenAI's then-directors
       | already had concerns about Altman's honesty, people familiar with
       | their thinking said."
        
         | TeeWEE wrote:
         | Wow, there is no way around it. Sam Altman is basically getting
         | his way by misleading people. The board did the right thing.
         | Honesty is crucial as a leader. I think for Sam Altman his goal
         | is more important than ethics and he will do whatever to get
         | his way.
        
           | jfengel wrote:
           | Honesty is great, in moderation, but it's not the be-all and
           | end-all of leadership.
           | 
           | Leadership is fundamentally about manipulating people. If the
           | people already agreed, they wouldn't need leadership. Your
           | job as leader is to get them all working in more or less the
           | same direction, even though they don't really want to.
           | 
           | Honesty is a great way to do that, when it works. Honesty has
           | the virtue of not having to keep track of your lies, and you
           | don't get caught in an inconsistency.
           | 
           | But it doesn't always work, and then you have to consider
           | alternatives. Sometimes people are dumb. Sometimes people are
           | wrong. Sometimes people are hostile. Sometimes people are
           | right, but in a way that can't actually be implemented, and
           | you need to go with a sub-optimal path despite that.
           | 
           | At core, you can't lead if you don't believe that you've
           | listened to all of the concerns and reached the solution that
           | is best for the group as a whole, according to whatever
           | definition of "best" and "whole" you were hired for.
           | Sometimes that's going to force you to use other means that
           | just telling people the truth and hoping they reach the same
           | conclusion.
           | 
           | Leadership is fundamentally a people problem, not a technical
           | one. And sometimes that's going to mean being dishonest. A
           | good leader does it as little as possible, but simply
           | dismissing it as a tactic is a recipe for failure because it
           | hides a fundamental truth about why and how people behave in
           | groups.
        
             | stormfather wrote:
             | First of all, it's the CEO's job to take direction from the
             | board and implement their vision, not "lead them". Second
             | of all, your argument seems to be that ethics (specifically
             | honestly) sometimes gets in the way of goal. I think
             | everyone knows that, but the reason we choose to behave
             | ethically is in spite of this, not because we are deluding
             | into thinking ethical behavior always maximizes some
             | objective. Thirdly, I would argue that in the long run
             | ethical behavior is the optimal path in leadership or any
             | other endeavor which involves cooperation.
        
               | rqtwteye wrote:
               | "First of all, it's the CEO's job to take direction from
               | the board and implement their vision, not "lead them".
               | 
               | Which successful CEO takes direction from a board that
               | meets a few times a year?
        
             | timschmidt wrote:
             | > Your job as leader is to get them all working in more or
             | less the same direction, even though they don't really want
             | to.
             | 
             | Hard disagree. A leader cultivates agreement and
             | cooperation through clear articulation of a vision and a
             | path to get there.
        
             | KaiserPro wrote:
             | leadership for openai is supposedly accountable to the
             | board.
             | 
             | lying to board is dick move, manoeuvring to get someone
             | fired is a dick move. If what we read is mostly true, then
             | I can see why the board fired him, after all, how can they
             | trust him?
        
             | vore wrote:
             | The CEO is an instrument of the board. The CEO is not there
             | to lead the board. This is just backstabbing, plain and
             | simple.
        
               | Analemma_ wrote:
               | The thing about the "celebrity CEO" cult that has taken
               | over the Valley-- and is in full force at OpenAI-- is
               | that people like the parent have completely forgotten
               | that the way it's supposed to work is that the CEO serves
               | at the discretion of the board of directors. The board is
               | not some speedbump or hassle to be maneuvered around,
               | they choose the CEO and can revoke their choice.
               | 
               | Not that that's actually ever going to be the case at
               | OpenAI again, but the parent has the chain of command
               | here totally bass-ackwards.
        
             | calf wrote:
             | I think you've confused the concept of leadership for
             | demagoguery.
             | 
             | Your line of reasoning fulfills the stereotype that tech
             | people are sorely lacking in a well-rounded education.
        
       | YetAnotherNick wrote:
       | > Toner maintains that safety wasn't the reason the board wanted
       | to fire Altman.
       | 
       | This is the biggest news of it all So all the Q* thing and Ilya's
       | safety position and other theories were incorrect?
        
       | gregatragenet3 wrote:
       | Anyone else come to the realization that when spokespeople talk
       | about "AI Safety" they aren't concerned with the skynet-esque
       | enslavement of mankind or paperclip maximizing, but that controls
       | be in place that prevent people from using the technology in a
       | way that is misaligned with the maximum extraction of profit?
        
         | wait_a_minute wrote:
         | We need open source models that are trained on the same data
         | and that can be built from source and run on lightweight
         | machines like mobile devices.
        
           | timschmidt wrote:
           | This seems relevant: https://arxiv.org/abs/2311.08105
        
         | justrealist wrote:
         | Please stop framing your own personal cynicism as a grand
         | narrative revalation.
        
         | reducesuffering wrote:
         | Your "realization" is counter to everyone on the anti-safety
         | side being monetarily incentivized (VC's, OpenAI employees with
         | $1m+ pay packages, startup founders seeking to get rich)
         | compared to the people that never aimed to profit at all like
         | Helen Toner, Yudkowsky, Bengio, and Hinton.
        
       | lacker wrote:
       | The most embarassing thing about this isn't that the board
       | decided to fire the CEO. That happens all the time. Many startups
       | replace their CEO, it isn't always clear whether it's the right
       | decision, but that's the responsibility of the board.
       | 
       | The embarassing part is that the board decided to fire the CEO,
       | announced their decision, refused to say why, attempted to put in
       | place a new CEO but had to immediately demote the new CEO (Mira)
       | after she rejected their plan, upset and alienated their core
       | partners, along with almost all of their employees, and then
       | publicly backtracked to undo the firing that led to this all
       | happening.
       | 
       | Once you screw this up to such an incredible degree, how can
       | anyone really trust that you were doing the rest of your job
       | well?
        
         | caesil wrote:
         | Interesting how an intellectual movement claiming to know
         | better than anyone else how development of an unpredictable
         | technology might pan out over the course of years failed to
         | predict how one decision would pan out over the course of a
         | single weekend.
         | 
         | Perhaps there's some level of overconfidence at play from
         | systems thinkers who overintellectualize their ability to
         | conceptualize and extrapolate forward an impossibly complex
         | system.
        
         | NearAP wrote:
         | > but had to immediately demote the new CEO (Mira) after she
         | rejected their plan
         | 
         | According to reports, Mira was informed of the decision to fire
         | Sam the night before Sam was fired. There's no indication she
         | was against it and she also didn't inform Sam. So, I don't get
         | this "she rejected their plan".
         | 
         | If the board informed her they were going to fire Sam, it seems
         | logical that they also informed her they were going to give her
         | the interim CEO position. I have no knowledge of this (it just
         | kind of makes sense to me).
        
       | COGlory wrote:
       | The more I learn about Altman, the more I begin to think he is a
       | pathological liar.
        
         | black6 wrote:
         | He and all his contemporaries are. You can't rise to that
         | position without being a sociopath.
         | 
         | https://www.ribbonfarm.com/2009/10/07/the-gervais-principle-...
        
         | Vvector wrote:
         | He's not lying, he's hallucinating...
        
       | yinser wrote:
       | I think the OpenAI shenanigans are far from over and the next act
       | is likely to play out. A couple of my personal opinions are:
       | 
       | - As PG pointed out Sam would find his way to the top of an
       | island of cannibals. If you're generous to Toner's side in this
       | article she likely _was_ alarmed by how Sam tried to get other
       | board members to turn against her. When she walked into the arena
       | with Altman to try and remove him however he had much more
       | experience and orchestrated an incredible counter-coup.
       | 
       | - There must be an army of attorneys representing the board
       | members, and investors because there are huge potential legal
       | pitfalls to destroying value, or failing fiduciary duties.
       | 
       | - We don't know a lot because anything put out in public has to
       | be spotless legally. If you're a board member and you know the
       | truth, the only upside to leaking more info is clout, but the
       | downsides are being sued and tied up in court losing a lot of
       | time and money.
       | 
       | - People seem dissatisfied with what was revealed in this article
       | but Toner has likely been advised by lots of counsel on exactly
       | what can be said, and the list of those things is probably
       | miniscule. I'd say she's doing the best she can to give the
       | public more info and I'm happy she's taken the effort to do so.
        
       | pciexpgpu wrote:
       | The fact that AI safety ethics folks haven't gone after camera-
       | based "FSD" (resulting in so many accidents and deaths) tells me
       | that they are not the right group to solve imagined "world"
       | problems. Add to this mix the already intertwined AI based ads
       | and monitoring.
       | 
       | Things are happening right in front of us and people are writing
       | giant senti-essays on imagined trolley and paperclips problems
       | behind the veil of some thinktank "EA" stuff.
        
       | boiler_up800 wrote:
       | She didn't think there would be employee backlash when they fired
       | the guy who was almost finished closing a financing that would
       | make most senior employees millionaires?
       | 
       | I respect that she and other board members didn't like that Sam
       | was trying to manipulate them into ousting her but their
       | counterattack was poorly thought out.
        
       | sertbdfgbnfgsd wrote:
       | > The board's mandate is to "humanity," not investors.
       | 
       | Somebody put her there, told her "you know, lets say it's for
       | humanity" and she _actually_ believed it.
       | 
       | No, it's for people to get rich.
        
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