OpenAI's leadership is tightening around one of its founders. According to CNBC, co-founder and president Greg Brockman is now officially responsible for overseeing the company's products, making him what the outlet describes as OpenAI's new second-in-command.

The shift follows the departure of Fidji Simo. According to Yahoo Finance, Simo is leaving her role as AGI chief after less than a year, forced out by a chronic medical issue. CNBC similarly ties her exit to a chronic medical condition.

Rather than search for a successor, OpenAI is folding her responsibilities upward. A source told CNBC, as relayed by Techmeme, that Brockman will continue to oversee OpenAI's products and that the company does not plan to hire anyone to replace Simo after she stepped down.

The timing is notable. CNBC frames the move as a consolidation of power under Brockman coming ahead of a prospective OpenAI initial public offering. Yahoo Finance characterizes Simo's exit as another blow on the company's road to an IPO, suggesting the leadership turnover adds uncertainty during a sensitive stretch.

Simo had been a high-profile hire brought in to run a major part of OpenAI's operations, so her exit after a short tenure — and the decision not to backfill the position — signals a deliberate flattening of the org chart around its founding leadership.

Why it matters: as OpenAI edges toward a possible public offering, concentrating product authority in a single co-founder shapes who steers the direction of some of the world's most widely used AI tools, and how steady that hand looks to future investors.