Elon Musk-Led Consortium Proposes $97.4Bn Takeover of OpenAI, Altman Responds

💰 Musk-Led Group Bids $97.4 Billion for Control of OpenAI

Elon Musk and a consortium of investors have submitted a $97.4 billion bid to acquire all assets of the nonprofit overseeing OpenAI. The move is seen as an escalation of Musk’s ongoing rivalry with OpenAI CEO Sam Altman.

🚀 What Led to Musk’s OpenAI Buyout Offer?

• 🧠 OpenAI, founded in 2015 by Sam Altman and Elon Musk, was initially structured as a nonprofit.
• 🔄 In recent years, OpenAI has moved toward a for-profit model, prompting criticism from Musk.
• ⚖️ Musk, who left OpenAI in 2019 to start his own AI firm xAI, previously sued OpenAI over its restructuring.

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📢 Musk’s Justification for the Acquisition

Attorney Marc Toberoff, representing Musk’s investor group, justified the bid by arguing that OpenAI’s shift to a for-profit model undermines its original mission.

"If Sam Altman and the present OpenAI board are intent on becoming a fully for-profit corporation, it is vital that the charity be fairly compensated for what its leadership is taking away: control over the most transformative technology of our time."

❌ Altman Rejects Musk’s Offer with a Sharp Response

Sam Altman publicly dismissed Musk’s bid with a sarcastic post on X (formerly Twitter):

“No thank you, but we will buy Twitter for $9.74 billion if you want.”

This remark referenced Musk’s 2022 acquisition of Twitter for $44 billion and its subsequent valuation decline.

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🔥 Musk vs. Altman: A Long-Running AI Rivalry

The Musk-Altman dispute extends beyond this buyout attempt, with deep-rooted conflicts over the future of AI:

⚔️ Key Flashpoints in the Musk-Altman Feud

• 🚀 2019: Musk exits OpenAI, citing concerns over its direction.
• 🤖 2023: Musk launches xAI as a direct competitor to OpenAI’s ChatGPT.
• ⚖️ 2024: Musk sues OpenAI over its partnership with Microsoft, then later refiles the lawsuit.
• 🔍 2025: Altman and Trump-backed Stargate AI initiative intensifies their political and technological rivalry.

📜 Musk Fires Back at Altman

After Altman’s rejection, Musk retaliated by calling him a "swindler" on X. He also posted a video of Altman with the caption "Scam Altman", further escalating tensions.

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🌍 The Bigger Picture: AI Power Struggles & Political Dimensions

The Musk-Altman conflict is no longer just a corporate battle; it has political implications:

• 🏛️ Altman, backed by former US President Donald Trump, is leading the Stargate AI Initiative, a $500 billion AI project.
• 💸 Musk dismissed the initiative as financially unstable and questioned its long-term viability.
• 🔄 Altman, in turn, questioned Musk’s real motivations in AI, accusing him of prioritizing commercial control over ethical AI development.

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📌 Keywords:

Elon Musk OpenAI bid, Sam Altman OpenAI feud, Musk AI takeover, OpenAI buyout attempt, AI industry power struggle, Musk vs Altman rivalry, AI startup competition, AI market transformation, Blogs by Gaurav Singh (gauravsinghigc)