A group of investors led by Elon Musk has offered $97.4 billion to buy the nonprofit that controls OpenAI.
Sam Altman dismissed Musk’s offer with a sarcastic response on X
Altman's statement not only rejected the bid but also mocked Musk by referencing X's old name.
Elon Musk has made a bold move to take control of OpenAI, the company behind ChatGPT. A group of investors led by Musk has offered $97.4 billion to buy the nonprofit that controls OpenAI. This bid escalates his ongoing rivalry with OpenAI CEO Sam Altman over the future of artificial intelligence.
SurveyMusk’s lawyer, Marc Toberoff, said that the offer was submitted to OpenAI’s board on Monday, reports The Wall Street Journal. If accepted, the deal could significantly impact OpenAI’s future, especially since Altman is already working on a major transition—turning OpenAI into a fully for-profit company and raising up to $500 billion for AI infrastructure through a joint venture called Stargate.
Musk, who co-founded OpenAI in 2015, has repeatedly criticised its shift from a nonprofit to a for-profit structure. “It’s time for OpenAI to return to the open-source, safety-focused force for good it once was,” Musk was quoted as saying. “We will make sure that happens.”
Also read: Elon Musk wants court to stop OpenAI’s for-profit transition, here’s why
Altman dismissed Musk’s offer with a sarcastic response on X (formerly Twitter), saying, “no thank you but we will buy twitter for $9.74 billion if you want.” His comment not only rejected the bid but also mocked Musk by referencing X’s old name ‘Twitter.’
The rivalry between Musk and Altman has been growing for years. Since Musk left OpenAI, he has accused the company of abandoning its original nonprofit mission. He even filed lawsuits, claiming that OpenAI is working too closely with Microsoft, which has invested billions into the company. OpenAI, however, argues that Musk once supported turning it into a for-profit venture but walked away when he couldn’t control it.
Also read: Stargate to OpenAI: Why Elon Musk and Sam Altman are still fighting
Musk’s offer is backed by his AI company, xAI, and several big investors, including Valor Equity Partners, Baron Capital, Atreides Management, Vy Capital, and 8VC. Ari Emanuel, CEO of Hollywood company Endeavor, is also supporting the bid through his investment fund. If Musk succeeds, OpenAI could merge with xAI.
Meanwhile, OpenAI is already facing challenges in its transformation. The company plans to complete the nonprofit-to-for-profit shift by 2026.
Musk’s lawyer stated that their investor group is ready to increase their offer if someone bids higher.
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Ayushi Jain
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