It would be, but: this company hasn't been formed yet and this sketch does not justify the haste with which they kicked him out, there were all kinds of boxes that needed to be checked before they could do that without risking damage to OpenAI, this is a founder and the CEO we're speaking of.
Besides that: stupidly enough the contract that Sam has with OpenAI does not have a non-compete in it (this has been confirmed by multiple sources now I take that as true) and I don't see how it directly would harm OpenAI other than that his attention might be diluted and that it should be clear which cap he is wearing. But until that company formed and Sam named himself CEO of it (or took up some other high profile role) it leaves him so many outs that it only makes the board look like bumbling idiots. Because now he can simply say: "I would only be an investor" and that would be that, just like the rest of the investors in OpenAI (and, notably some members of the board) have conflicts of interest at least as large.
So if this was it they're in even more trouble than they were before because now it is the boards' conflicts of interest that will be held up to the light and those are not necessarily smaller.
What a complete circus.