OpenAI’s Fidji Simo steps down from her position

Fidji Simo, CEO of Applications at OpenAI, said she is stepping down from her full-time executive position at the AI major to prioritise her personal health.

This significant leadership change comes after a three-month medical leave triggered by the worsening of a chronic illness she has managed for seven years. Simo will now transition into a part-time advisory role for the AI company, a move that highlights the ongoing challenges of balancing high-stakes technology leadership with long-term physical well-being.

The decision marks a turning point for Simo, who joined OpenAI’s board in 2024 before becoming the CEO of Applications in May 2025. In this role, she consolidated the company’s business and product operations, overseeing high-level executives such as the chief operating officer and chief financial officer.

Reflecting on her decision to step back, Simo stated, “Three months ago, I had to go on medical leave after a severe exacerbation of a chronic illness I’ve lived with for seven years. During that time, it became clear that the road to recovery would be much longer and more complex than I had anticipated and that I needed to focus on it fully.”

Simo’s departure creates a leadership vacuum at a critical moment for OpenAI as it considers a potential initial public offering (IPO). She had been viewed as a key figure to lead the company through its transition into a public entity.

“I am really sad about this and very grateful for all fidji has done for openai, and even grateful for her friendship and who she is as a person. We all wish her the best for a  speedy recovery. This sucks,” Sam Altman, co-founder and chief executive officer of OpenAI, said.

The organisation is currently navigating a period of flux, with several other senior departures including the chief product officer, Kevin Weil, and the chief marketing officer, Kate Rouch, who left to focus on cancer recovery.

The AI industry is currently experiencing a shift in consumer demand. While tools like ChatGPT initially saw explosive growth, recent data suggests this momentum has cooled, leading OpenAI to miss internal revenue targets. Consequently, the company is leaning more heavily into specialised coding tools. This is an area where it currently trails its rival, Anthropic, which has gained significant traction with developers.

Despite her departure from full-time duties, Simo remains committed to the potential of technology to solve human problems, particularly in healthcare. She continues to work with research initiatives such as Chronicle BioAI and CODA Research.

In her post, she shared a vital lesson about professional longevity, saying, “What I’m learning now is that grit and endurance are not the only skills required to have impact over decades. Sometimes the harder thing is to stop, listen, and trust that taking care of yourself today makes it possible to contribute for much longer tomorrow.”

Her career, which includes over a decade at Meta and a tenure as the chief executive officer of Instacart, serves as a background to her new focus on the long-term impact of AI on health and daily life.