Fidji Simo, who served as head of products and business at OpenAI and was widely regarded as the company's second-in-command after CEO Sam Altman, said on Thursday that she will relinquish full-time responsibilities and transition into a part-time advisory capacity because of health complications.
In a social media statement, Simo explained that three months ago she experienced a "severe exacerbation of a chronic illness," which required an extended medical leave. She said the trajectory of her recovery has changed and is now expected to take longer and be more complex than first thought, prompting the move to a reduced role.
At OpenAI, Simo led product and business efforts for the company's consumer-facing portfolio. Her remit included oversight of consumer offerings and she had a central role in steering development toward a consolidated consumer experience - an initiative described within the company as work on a "superapp," which OpenAI unveiled earlier on the same day as her announcement.
Simo joined OpenAI following senior executive stints at other technology companies, where she held leadership roles including chief executive of an online grocery platform and a senior role at a major social media company. Within OpenAI, she was responsible for a range of consumer-facing product decisions and strategy.
The timing of Simo's shift to part-time advisory status coincides with a critical juncture for OpenAI. The company is preparing for a possible initial public offering, targeted either this year or next, while simultaneously addressing a slowdown in expansion of ChatGPT user growth that analysts and the company have noted this year.
OpenAI is also reported to be revising internal financial management and taking steps to cut cash burn as it moves toward a public listing. The company has acknowledged competitive pressure from rival AI firms, including Anthropic, and has been working to accelerate product development and regain momentum in consumer growth.
Simo's departure from day-to-day duties reduces the company's operational bench strength in product leadership at a moment when it is both refining its consumer strategy and preparing the business for public markets. OpenAI confirmed the role change in Simo's disclosure but has not provided additional detail on succession or how her advisory role will be structured.
Context and implications
The change in Simo's status is a personnel development that intersects with OpenAI's broader strategic priorities: completing product work on a consolidated consumer offering, confronting slowing user growth for core products, and tightening financial discipline ahead of an IPO.