Microsoft has withdrawn its non-voting observer role on OpenAI's board, marking a notable shift in the tech giant's involvement with the AI research lab. Instead of board representation, OpenAI plans to keep its business partners and investors updated through regular meetings. This decision follows escalating scrutiny from US and EU regulators regarding Big Tech's investments in AI startups amid concerns about unfair competition and market dominance. Apple, which was reportedly considering an observer role on OpenAI's board as part of an AI partnership, has similarly opted not to pursue the position. OpenAI's spokesperson confirmed that the organization will engage with key strategic partners like Microsoft and Apple through informal, regular discussions rather than board seats. This move is part of a broader strategy under OpenAI's new CFO, Sarah Friar, aimed at maintaining open lines of communication with important stakeholders. Currently, OpenAI's eight-member voting board includes prominent figures such as CEO Sam Altman and former US Treasury Secretary Larry Summers. Despite Microsoft's recent withdrawal from the board, the two companies' financial and technological collaboration continues, backed by Microsoft's significant investment in OpenAI. Meanwhile, regulatory bodies in the US and Europe are increasingly scrutinizing Big Tech's influence on emerging AI technologies to prevent monopolistic practices and ensure fair competition.