Instacart CEO Departs for OpenAI
The news dropped last week that instacart CEO and Chairman of the Board Fidji Simo is departing to another company she is on the Board of. No not Shopify, that other company - OpenAI.
Fidji Simo will lead Product, Business and Applications. Essentially, everything tied to a customer’s experience with OpenAI, but also how the AI is packaged and delivered to users. This is quite an expansive role.
A few points off the bat:
* Whenever I see a CEO leave for a lesser role with another company, you know they must view it as a career-making opportunity. While OpenAI has a lot of troubles and has already made a few big mistakes regarding things like corporate structure and has ongoing challenges with hallucinations and accuracy, they also have a chance to be a generational company if they play their cards right.
* I’ll go out and say this, Fidji Simo earned this move. Instacart has performed well under her leadership over the past few years. She has infused AI into Instacart, and improved the application, user experience, and service significantly — in addition to expanding selection.
* Fidji Simo may also help with the public face of OpenAI which could use an overhaul. Meaning, OpenAI has a Sam Altman problem. This could setup an eventual CEO transition if the company plays its cards right, which you think this wouldn’t overhaul their image? I don’t think this is likely to happen soon, but you never know. And the Board is smart in my mind to bring in another proven public figure.
As far as Instacart goes, she leaves it in a good place. One of the things that was notable about Simo’s departure announcement is that they signaled a current executive will take over as CEO. There are really two choices: the Chief Business Officer Chris Rogers, and the Chief Product Officer Daniel Danker. Of the two, I would bet on Daniel Danker. The executive is the most like Fidji Simo from my point of view, having spent time at Facebook, and Danker then moved on to head Product at Uber Eats.
Instacart to me seems like a very product-oriented company and so that would likely pass the torch with the least amount of disruption I am guessing. Being headquartered in San Francisco, there is also a bias towards Product and Technology oriented leaders as a rule — though sometimes there are exceptions. We will see how it shakes out.
