A consortium led by Elon Musk has made a $97.4 billion bid to buy the nonprofit that controls OpenAI, escalating a long-standing struggle for control of the company between Musk and OpenAI’s CEO, Sam Altman. The consortium includes Vy Capital, Xai, and Hollywood agent Ari Emanuel, among others. OpenAI has not yet responded to the bid, but Altman jokingly suggested that they buy Twitter instead. Musk, who was an initial investor in OpenAI, left after a power struggle and started his own A.I. company to compete with Altman.
The bid comes as OpenAI was set to complete a $40 billion fundraising deal with SoftBank that would value the company at $300 billion, making it one of the most valuable private companies in the world. SoftBank would invest up to $40 billion, with other investors contributing the rest of the funds. This news comes as OpenAI and Microsoft face a lawsuit from The New York Times over copyright infringement related to AI systems, which the companies deny.
The bid from Musk’s consortium adds a new layer to the ongoing battle for control of OpenAI, with Musk seeking to take over the company he co-founded and competed with through his own A.I. company. The future of OpenAI remains uncertain as the bid continues to unfold. Stay tuned for updates on this developing story.
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