Elon Musk Leads Nearly $100 Billion Bid to Acquire OpenAI, Escalating Feud with Sam Altman

Elon Musk is spearheading a $97.4 billion acquisition bid for OpenAI, the company behind ChatGPT, in a move that could reshape the artificial intelligence landscape. The offer, backed by a consortium of investors, would give Musk majority control of the company, placing it in direct competition with his own AI venture, xAI.

A Long-Standing Feud

Musk, who co-founded OpenAI in 2015, has had a contentious relationship with the company and its CEO, Sam Altman. He left OpenAI in 2018 after an unsuccessful attempt to have Tesla acquire it. Since then, he has repeatedly criticized the company for moving away from its original nonprofit mission and embracing a for-profit model. Musk has accused OpenAI of prioritizing commercial success over AI safety and transparency, contradicting its founding principles.

Legal Battles and Accusations

Musk has pursued multiple lawsuits against OpenAI, alleging that the company and its leadership have misrepresented its philanthropic goals while aggressively monetizing AI. In 2024, Musk sued OpenAI, accusing it of developing artificial general intelligence (AGI) primarily to maximize profits. OpenAI responded by publishing Musk’s past emails, which reportedly showed his prior acknowledgment that significant revenue generation was necessary to support AI research.

Musk’s attorney, Marc Toberoff, justified the takeover bid by arguing that OpenAI’s shift toward a profit-driven structure was unfair to its nonprofit roots. “It’s time for OpenAI to return to the open-source, safety-focused force for good it once was. We will make sure that happens,” Toberoff stated.

OpenAI’s Response and Growth Under Altman

Sam Altman, widely credited for OpenAI’s rapid rise, has been vocal in rejecting Musk’s criticisms and legal claims. Under Altman’s leadership, OpenAI has transformed from a struggling startup to a tech giant valued at nearly $300 billion, backed by major investors such as Microsoft and Thrive Capital.

In response to Musk’s bid, Altman dismissed the offer with a sarcastic post on X (formerly Twitter): “no thank you but we will buy Twitter for $9.74 billion if you want.”

Despite Musk’s legal challenges and takeover attempt, OpenAI’s future will ultimately be decided by its board, which may consider higher offers or other strategic decisions. For now, Altman remains firm in his stance, signaling that OpenAI is not for sale.

The Battle for AI’s Future

Musk’s attempt to acquire OpenAI highlights the broader struggle over AI’s direction—whether it should be controlled by corporations seeking profit or remain dedicated to open-source, safety-first development. With OpenAI’s board in control of its future, the AI industry will be watching closely to see if Musk’s bid gains traction or if Altman’s vision for OpenAI prevails.