Elon Musk’s consortium, including xAI, Baron Capital Group, and Emanuel Capital, has made a $97.4 billion offer to acquire OpenAI’s nonprofit entity, intensifying his long-running battle with CEO Sam Altman over the company’s shift toward a for-profit model. Altman quickly dismissed the bid, posting on X: “No thank you, but we will buy Twitter for $9.74 billion if you want.”
Musk, who co-founded OpenAI in 2015 but left before its rise, has since launched xAI, a rival AI venture. His legal challenge against OpenAI claims that the company deviated from its original mission of open-source, safety-focused AI in favor of commercial profits. With SoftBank reportedly considering a $40 billion investment at a $300 billion valuation, OpenAI’s board now faces scrutiny over its fiduciary responsibilities. Analysts suggest that Musk’s bid, despite financial hurdles, could complicate OpenAI’s fundraising efforts and force a reevaluation of its corporate transition.
