- Board is mostly independent and those independent dont have equity
- They talk about not being candid - this is legalese for “lying”
The only major thing that could warrant something like this is Sam going behind the boards back to make a decision (or make progress on a decision) that is misaligned with the Charter. Thats the only fireable offense that warrants this language.
My bet: Sam initiated some commercial agreement (like a sale) to an entity that would have violated the “open” nature of the company. Likely he pursued a sale to Microsoft without the board knowing.
Who knows, though -- I'm sure we'll find out more in the next few weeks, but it's fun to guess.
Seems like it would be a great way to eventually maintain control over your own little empire while also obfuscating its structure and dodging some of the scrutiny that SV executives have attracted during the past decade. Originally meant as a magnanimous PR gesture, but will probably end up being taught as a particularly messy example of corporate governance in business schools.