OpenAI Board Rejects Elon Musk’s $97.4 Billion Offer

by gauravsinghigc

Tags : OpenAI board decision, Elon Musk OpenAI offer, OpenAI valuation, Sam Altman vs Elon Musk, AI industry news, OpenAI funding, tech business updates | Published at : 17 Feb 2025 05:45 AM | Author : Gaurav Singh (gauravsinghigc)

OpenAI’s board has turned down Elon Musk’s $97.4 billion offer, marking his latest attempt to influence the AI company he co-founded with Sam Altman. Learn more about the ongoing battle for OpenAI’s future.

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🚀 OpenAI Board Rejects Elon Musk’s $97.4 Billion Offer

OpenAI has officially rejected a $97.4 billion bid from a consortium led by billionaire Elon Musk, stating that the company is not for sale and reaffirming its commitment to developing Artificial General Intelligence (AGI) for the benefit of humanity.

💰 Musk’s Latest Attempt to Control OpenAI

🔹 Elon Musk, who co-founded OpenAI but left in 2018, made an unsolicited bid through a consortium including xAI, Valor Equity Partners, Baron Capital, and Hollywood power broker Ari Emanuel.
🔹 OpenAI Chairman Bret Taylor announced the unanimous rejection of Musk’s offer, calling it an attempt to disrupt competition.
🔹 Musk’s lawyer Marc Toberoff argued that OpenAI is putting its for-profit enterprise up for sale to benefit board members rather than its nonprofit mission.

⚖️ Legal Battle Between Musk & OpenAI

📜 Musk sued OpenAI in August 2024, alleging a breach of contract by prioritizing profits over public benefit.
⏳ OpenAI plans to restructure as a public benefit corporation to attract more capital, removing restrictions imposed by its nonprofit parent.
❌ On Tuesday, OpenAI CEO Sam Altman firmly dismissed the bid, calling it a “no thank you.” Musk responded by calling him a “swindler.”
🛑 OpenAI’s board argued that Musk’s bid was not genuine, citing new material conditions added by Musk’s legal team.

🧐 What’s Next for OpenAI?

OpenAI continues to focus on developing AGI while securing investments from major backers like Microsoft. With tensions rising between Musk and Altman, the future of OpenAI’s structure and leadership remains a topic of heated debate.

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