Musk wants to buy OpenAI for huge sum: Details
Musk is ready to pay a tidy sum for OpenAI (photo: Getty Images)
In a sharp escalation of the fierce competition in the field of AI in Silicon Valley, Elon Musk has announced that he is leading a $97.4 billion bid to buy the nonprofit OpenAI, reports Engadget.
A group of investors led by Musk's xAI company sent a purchase offer to the OpenAI board of directors. The investors want to acquire the non-profit organization that controls the commercial division of OpenAI.
OpenAI CEO Sam Altman quickly rejected the offer, ironically stating on social media that OpenAI could instead buy Twitter for $9.74 billion. This exchange highlights the growing tension between Musk and Altman, who have been at odds over the company's development since Musk left OpenAI.
Musk's consortium includes his artificial intelligence company xAI, as well as several large venture capital funds. They argue that the transition of OpenAI to a commercial model contradicts its original principles.
In 2023, Musk filed a lawsuit trying to block this process, claiming that the non-profit organization should receive appropriate compensation.
The proposal creates uncertainty about OpenAI's plans, especially as the company negotiates with investors such as SoftBank for a new round of funding that could value OpenAI at $300 billion.
Musk's proposal also raises questions about fiduciary responsibility and possible antitrust risks, complicating OpenAI's future.
As you might guess, Musk did not like Altman's joke. In response, he wrote "Fraud" and later called him "Skam Altman."
OpenAI's management structure (photo: OpenAI)
We also wrote that Elon Musk told how AI will change the future and named key dates for humanity.
