Ina FriedIllustration: Natalie Peeples/AxiosMicrosoft said late Tuesday that it is giving up an observer seat on OpenAI's board, saying it has seen "significant progress" over the last eight months, is confident in the company's direction and no longer sees the seat as necessary.Why it matters: Microsoft pushed for the spot after the November ouster of Sam Altman. The company played a key behind-the-scenes role in securing Altman's return and changes to the company's governance.Driving the news:...