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Sam Altman claims ignorance on equity clawbacks

OpenAI CEO Sam Altman faced backlash over the company’s restrictive exit policies that threatened to revoke vested equity from departing employees. Altman claimed he was unaware of these provisions, which have now been scrutinized through leaked documents and employee testimonies.

On social media, Altman expressed his embarrassment and apologized for the oversight. He stated, “We have never clawed back anyone’s vested equity, nor will we do that if people do not sign a separation agreement (or don’t agree to a non-disparagement agreement). Vested equity is vested equity, full stop.”

You can read more on the matter here.

What’s going on?

• Egyptian Soldier Killed in Clash with Israeli Forces at Rafah Border (theDeepDive)

• Ontario privacy commissioner probing deleted Greenbelt e-mails (Globe)

• Daily Marijuana Use Surpasses Daily Alcohol Consumption in the United States (theDeepDive)

• Why Freeland's delay in tabling capital gains tax has Canadians facing costly conundrums (NP)

• U.S. Lawmakers to McKinsey: Cut China Ties or Lose Federal Contracts (theDeepDive)

• Federal government's voluntary AI code of conduct gets eight more signatories (BNN)

• Canada to Restore Citizenship Rights for ‘Lost Canadians’ and Their Descendants (theDeepDive)

• What's behind a historic, unusual U.S. military cash transfer to Canadian mines (CBC)

• China Launches Property Rescue Package to Stabilize Ailing Housing Sector (theDeepDive)

• U of T seeks injunction order to clear pro-Palestinian protest as students, supporters rally (Globe)

What’s the latest?

• xAI Funding: Elon Musk’s artificial intelligence startup, xAI, has raised US$6 billion in a Series B funding round. This funding comes less than a year after xAI's debut and will be used to bring its first products to market, build advanced infrastructure, and accelerate future technology development. xAI's pre-money valuation was $18 billion, with backing from prominent venture capital firms like Sequoia Capital and Andreessen Horowitz.

• China Tariffs: Canada is examining the U.S.'s recent decision to impose hefty tariffs on Chinese-made EVs but has yet to commit to similar measures. The U.S. has increased tariffs on Chinese EVs to 100%, citing unfair subsidies by China. Canada currently imposes a 6% tariff on Chinese vehicles, which still qualify for federal rebates.

• Israel Hits Rafah: An Israeli airstrike in Rafah, Gaza, caused a massive fire, killing 45 people, including many women, children, and elderly, officials reported on Monday. The strike, targeting Hamas commanders, resulted in a blaze that engulfed a tent camp where thousands had sought refuge following an Israeli ground offensive.

• China Chip Fund: China has established its largest-ever semiconductor investment fund, amassing 344 billion yuan (US$47.5 billion) to bolster its domestic chip industry amid escalating tensions with the U.S. The National Integrated Circuit Industry Investment Fund's third phase, known as Big Fund III, was launched to enhance China's self-sufficiency in semiconductor technology.

• PNG Landslide: A massive landslide in Papua New Guinea has buried over 2,000 people in the Maip-Mulitaka area of Enga province, according to the National Disaster Centre, far exceeding the initial U.N. estimate of more than 670 possible deaths. The disaster struck in the early hours of Friday, burying more than 150 houses under debris almost two stories high while most villagers were asleep.

Toyota, Panasonic Back FPX Nickel: Strategic Partnership

The stock market and stuff

• Reject Elon Musk’s ‘Excessive’ Pay Package, Proxy Advisor Urges Tesla Shareholders (theDeepDive)

• The Fed probably won’t be delivering any interest rate cuts this summer (CNBC)

• BOJ Signals Room for Interest Rate Hikes After Price Norm Shift (Bloomberg)

• PayPal Turns On Money Tap For Venmo With Fee Increase (theDeepDive)

In the juniors

• MacDonald Mines Latest Firm To Withdraw Assay Results (theDeepDive)

• First Hydrogen Signs LOI With German Automaker That Will Enable Hydrogen-Powered Fleet Sales (theDeepDive)

• Cytophage Adds 30-Year Biotech Exec To Its Board (theDeepDive)

FULL DISCLOSURE: Hertz Energy is a client of Canacom Group, the parent company of The Deep Dive. Canacom Group is currently long the equity of Hertz Energy. The author has been compensated to cover Hertz Energy on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.