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techcrunch ai · July 9, 2026

Fidji Simo exits OpenAI No. 2 role — and leaves a power vacuum before IPO

openai's ceo of applications fidji simo stepped down to an advisory role due to health issues, leaving ceo sam altman without a key lieutenant just as the company prepares for an ipo and enterprise battles.

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fidji simo has resigned from her role as OpenAI's chief executive of applications, a position created just last year to consolidate the company's business units under sam altman. simo, who previously served as ceo of instacart and oversaw executives including the cfo and cpo, cited an extended medical leave for a neuroimmune condition as the reason for stepping back. her exit leaves a hole in Openai's consumer strategy, particularly after ChatGPT growth missed internal revenue targets, forcing a strategic pivot toward coding tools. the leadership shake-up complicates the company's timing as it races to close the gap with rival Anthropic and prepares for a public listing.

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