OpenAI’s Internal Power Struggle: GPU Battles and Board Inexperience Shaped the Codex Desktop Release

When OpenAI announced the desktop version of Codex, Microsoft disclosed an internal email from CTO Kevin Scott that laid bare the November 2023 board coup which temporarily removed Sam Altman as CEO.

GPU is everything – The email shows a persistent tug‑of‑war between OpenAI’s research and application groups over GPU allocation. The application side needed GPUs for API services and ChatGPT, while researchers required virtually unlimited GPU time to train new models. Scott wrote, "Researchers wouldn’t have the GPUs they have now without the application team," illustrating the zero‑sum perception.

Ilya’s disappointment – The email also details a personal rift between co‑founder Ilya Sutskever and Sam Altman. Altman promoted Jakub Pachocki to lead the main model‑research direction; after taking over, Jakub’s work “accelerated, achieving truly impressive progress in recent weeks.” Ilya, a board member, found this hard to accept, feeling sidelined after years of unresolved challenges.

Board mishandling – Two board members, described as “effective altruists” who idealistically seek unlimited funding for AGI, lacked operational experience. They failed to grasp OpenAI’s internal dynamics and did not anticipate that firing Sam would worsen the situation. The timeline shows the board only notified interim CEO Mira Murati late Thursday night, while Microsoft CEO Satya Nadella learned of the CEO discussion ten to fifteen minutes before the board meeting.

Aftermath – Following the upheaval, Greg Brockman resigned in surprise, and Jakub together with many researchers contacted Sam Altman to pledge loyalty and threatened to quit. The conflict ended with Sam’s return, exposing flaws in OpenAI’s governance structure. Commentators noted that the struggle was less about ideals and more about self‑interest hidden behind lofty goals. The “GPU‑driven bloodshed” is said to have altered OpenAI’s trajectory, turning it from a leader into a follower, with the Codex desktop release serving as evidence.