Elon Musk Led Investors Offer $97.4 Billion Bid for OpenAI

OpenAI Receives 97.4 Billion Offer from Elon Musk and Investors; Sam Altman Rejects Offer

In a dramatic turn of events, Elon Musk and a group of investors have made an unsolicited bid to purchase OpenAI for $97.4 billion. This move marks a significant escalation in the ongoing tensions between Musk and OpenAI’s leadership, particularly its CEO, Sam Altman.

Musk, who co-founded OpenAI in 2015 but left in 2018 due to strategic disagreements, has been an outspoken critic of the company’s shift towards a for-profit model. His proposed acquisition, backed by his AI company xAI and several venture capital firms, seeks to return OpenAI to its original mission of open-source artificial intelligence development.

Altman, however, quickly dismissed the offer. In a post on X (formerly Twitter), he responded sarcastically: “No thank you, but we will buy Twitter for $9.74 billion if you want.” The remark references Musk’s controversial $44 billion purchase of Twitter in 2022.

The takeover bid comes at a time when Musk is already engaged in a legal battle with OpenAI, accusing the company of abandoning its founding principles. A federal judge recently allowed the lawsuit to proceed, though it remains unclear how it will impact OpenAI’s operations moving forward.

Under Altman’s leadership, OpenAI has been working on large-scale projects such as “Stargate,” a $500 billion initiative to develop advanced AI infrastructure. Musk has openly criticized these efforts, questioning their financial feasibility and strategic direction.

Industry experts believe Musk’s bid could complicate OpenAI’s fundraising efforts and influence its market valuation. The situation remains fluid, but the outcome of this power struggle could significantly shape the future of artificial intelligence research and development.

https://finance.yahoo.com/news/elon-musk-led-group-makes-204712412.html