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OpenAI's No. 2 Steps Down Due to Illness, Fidji Simo Takes Part-Time Role

OpenAI is facing another major leadership shakeup. Fidji Simo, the company's second-highest-ranking executive, announced on July 10 that she is stepping down from her full-time role. In an internal letter to employees, Simo revealed that she had taken a leave of absence due to a recurrence of her neuroimmune system disease, but her recovery has been slower than expected. She will now transition into a part-time consultant role.

Simo joined OpenAI's board in 2024 and became CEO of the applications division in May 2025. That role was created to integrate the company's business and product operations. At the time, several top executives—including COO Brad Lightcap, CFO Sarah Friar, and CPO Kevin Weil—reported to her, while CEO Sam Altman focused more on research, computing power, and security. Before OpenAI, Simo served as CEO of Instacart, leading the company through its 2023 IPO, and spent over a decade at Meta overseeing the core Facebook app.

ChatGPT Growth Slows, OpenAI Faces Dual Pressures

This personnel change has far-reaching implications for OpenAI. Simo was primarily responsible for driving the company's consumer-level business growth. With ChatGPT's growth slowing at the end of last year and failing to meet internal revenue targets, OpenAI is now under pressure to adjust its business direction—including shifting toward more competitive programming tools.

Given that OpenAI is currently preparing for a potential IPO and is locked in fierce competition with rival Anthropic in the enterprise market, Simo's departure puts Altman under urgent pressure to find a successor. Losing the "number two" figure during this critical period of commercial expansion and IPO preparation undoubtedly increases uncertainty in the company's strategic execution.

Frequent Executive Departures, Enhanced Talent Strategies

OpenAI has experienced frequent personnel restructuring in recent years. Earlier this year, the company saw the departure of Chief Marketing Officer Kate Rouch and Chief Product Officer Kevin Weil. The current executive team includes Sam Altman, Brad Lightcap, Sarah Friar, and co-founder Greg Brockman. Analysts believe that current Chief Revenue Officer Denise Dresser may take on more responsibilities.

Key Points:

  • Fidji Simo steps down as OpenAI's second-in-command due to neuroimmune disease recurrence.
  • She will remain as a part-time consultant.
  • Simo joined OpenAI in 2024 and led the applications division since May 2025.
  • Her departure comes as ChatGPT growth slows and OpenAI prepares for a potential IPO.
  • The company faces pressure to find a successor quickly amid executive turnover.