Elon Musk, leading a consortium of investors, has made an unsolicited bid of $97.4 billion to acquire OpenAI, the artificial intelligence company known for creating ChatGPT. This move intensifies the ongoing dispute between Musk and OpenAI’s CEO, Sam Altman. However, OpenAI’s board has not received Musk’s takeover bid, leading to confusion about its status.
Sam Altman has firmly rejected Musk’s offer, stating that OpenAI is not for sale. He views the bid as a tactic by a competitor to hinder OpenAI’s progress. Altman emphasized the company’s commitment to its mission and dismissed the proposal.
The relationship between Musk and Altman has become increasingly contentious. Musk has filed lawsuits against OpenAI, alleging that the company is straying from its original nonprofit mission. He seeks to block OpenAI’s transition to a for-profit entity. In response, Altman has criticized Musk’s actions, suggesting they stem from insecurity.
Implications for OpenAI’s Future
Despite media reports, OpenAI’s board has not received Musk’s takeover bid officially. OpenAI’s board has not yet received a formal bid from an Elon Musk-led consortium. This comes despite claims from Musk’s lawyer that the offer was sent to OpenAI’s external legal team. The disagreement over whether the bid was officially received has caused uncertainty about the takeover attempt.
Musk’s bid complicates OpenAI’s plans to restructure as a for-profit company. The nonprofit board overseeing OpenAI must now consider the offer in light of its mission to ensure that artificial general intelligence benefits humanity. Legal experts note that the bid sets a financial benchmark, challenging the board to evaluate the control and valuation of OpenAI’s technology.
The rivalry between Musk and Altman continues to escalate. Musk, who co-founded OpenAI in 2015 but departed in 2018 after a power struggle, has since launched a competing AI firm, xAI. His recent bid to acquire OpenAI underscores the deepening tensions and differing visions for the future of artificial intelligence. citeturn0news18
As the situation develops, the tech industry watches closely. The outcome of this high-stakes conflict could significantly influence the direction of artificial intelligence research and its applications.
Conflicting Claims Over Bid Submission
Musk publicly announced a $97.4 billion bid to acquire OpenAI. However, sources close to OpenAI stated that its board has not received the formal proposal. This has raised questions about the communication process. Musk’s lawyer, Marc Toberoff, claimed the offer was sent via email to OpenAI’s legal counsel at Wachtell, Lipton, Rosen & Katz. The law firm did not comment on the matter.
According to Toberoff, the offer included a detailed four-page Letter of Intent, signed by Musk and other investors. It was addressed to OpenAI’s board. He suggested that CEO Sam Altman may have chosen not to share the offer with other board members. Altman responded by stating that OpenAI is not for sale and labeled Musk’s move as an attempt to disrupt the company’s plans.
Board’s Stance and Future Implications
Sources confirm that OpenAI’s board has not received Musk’s takeover bid so far. In an internal message to employees, Altman indicated that the board had not officially reviewed Musk’s offer. He mentioned that the board planned to reject the bid to protect OpenAI’s mission. The nonprofit’s control of OpenAI complicates the takeover, as Altman emphasized that the company is not for sale.
Musk co-founded OpenAI with Altman in 2015 but left due to disagreements over its direction. He later launched a competing AI startup, xAI. Musk’s takeover attempt is seen as part of his broader strategy to prevent OpenAI from becoming a for-profit firm.
