OpenAI Declines $97.4 Billion Bid from Musk-Led Group
OpenAI CEO Sam Altman has rejected an unsolicited $97.4 billion bid from a group of investors led by Elon Musk. The bid, submitted to OpenAI's board, aims to acquire the non-profit organization that controls ChatGPT's creator.
Altman responded on Musk's social media platform, stating, "No thank you but we will buy twitter for $9.74 billion if you want." OpenAI has declined to comment officially.
The bid is backed by Musk's AI startup xAI and a consortium of investors, including Valor Equity Partners, Baron Capital, Atreides Management, Vy Capital, and 8VC.
Musk and Altman have a long-standing feud over OpenAI's direction since its founding. Musk has criticized OpenAI for moving from a non-profit to a for-profit model, following significant investments from Microsoft and others.
In an amended lawsuit, Musk alleges that OpenAI's partnership with Microsoft constitutes a "monopoly" that suppresses competitors like xAI. Microsoft's $13 billion investment has drawn scrutiny from the US Federal Trade Commission over potential dominance in the AI market.
SoftBank Group is reportedly in talks to invest $25 billion in OpenAI, potentially becoming its largest stakeholder.
Last month, Microsoft revised its agreement with OpenAI, allowing the startup to utilize cloud services from other providers. This move aligns with a joint venture between OpenAI, SoftBank, and Oracle to build US data centers.