Elon Musk’s offer to buy OpenAI for $97.4B rejected by Sam Altman

The relationship between Elon Musk and Sam Altman, co-founders of OpenAI, has evolved from collaboration to rivalry. In 2015, they established OpenAI as a nonprofit organization dedicated to advancing artificial intelligence for the benefit of humanity.

However, Elon Musk (world’s richest man) departed from the company in 2018 due to strategic disagreements.

In recent developments, Musk, leading a consortium, made a $97.4 billion bid to acquire control of OpenAI, aiming to revert it to its original nonprofit status. Altman swiftly rejected the offer, humorously suggesting purchasing Twitter instead.

"No thank you but we will buy twitter for $9.74 billion if you want," Sam Altman posted on X (formerly twitter).

This move is part of Elon Musk’s broader efforts to own ChatGPT and to prevent OpenAI’s transition to a for-profit entity, a shift he has legally contested, alleging it deviates from the organization’s founding mission.

Elon’s OpenAI buyout offer is reportedly backed by firms xAI, Valor Equity Partners, Baron Capital, Atreides Management, Vy Capital and 8VC.

The escalating tension between Musk and Altman underscores the challenges in balancing innovation with ethical considerations in AI development.