Elon Musk, founder and CEO of Tesla, SpaceX, Starlink, xAI, and more, has offered around $100 billion to take OpenAI into control. Before this offer, Elon Musk had sued OpenAI twice to lean toward a for-profit organization from its non-profit organization. While the CEO of OpenAI Sam Altman, responded, “We are not for sale” at an AI summit. Moreover, Sam Altman took X and wrote something that has become a subject of conversation among all the media channels.
Let’s find out the details of Musk’s proposal, why and how many times Elon sued the AI organization, and what the organization and CEO Sam Altman responded to on X. Let’s break everything in this article.
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Elon Musk Led Investor Group Offered $97Bn to OpenAI.
Elon Musk, co-founder of OpenAI earlier, has been seen targeting OpenAI for several reasons, but the affair in recent weeks has taken a new look. Reportedly, one who was often criticized for legal actions has now offered around $100 billion to take over the whole organization.
Tesla owner and a consortium of investors have proposed $97 billion to acquire the entire OpenAI organization. Wall Street Journal covered, that Musk has approached OpenAI’s board with a proposal to take control of the company and steer it back to its nonprofit roots. Marc Toberoff, Musk’s attorney, emphasized the importance of fair compensation in this potential shift, stating, “If Sam Altman and the current board want OpenAI to become a fully for-profit company, it’s important that the charity is fairly compensated for losing control of such groundbreaking technology.”
In this proposal, the key investors which include Musk’s AI company xAI along with Baron Capital Group, Valor Management, Atreieds Management, Vy Fund III, Emanual Capital Management, and The Eight Partners VC, clarify that the purchase will be held entirely on cash no third party financing required.
Elon Musk-led investors gave the deadline to the 10th of May 2025 for this proposal of $97 billion in all cash to acquire the company.
OpenAI’s Board and CEO Sam Altman’s Response to Proposal.
“OpenAI is not for sale, and the board has unanimously rejected Mr. Musk’s latest attempt to disrupt his competition Any potential reorganization of OpenAI will strengthen our nonprofit and its mission to ensure AGI benefits all of humanity, “OpenAI board chair Bret Taylor said in a statement posted to X on Friday.
While Open AI CEO Sam Altman, rejected the proposal, in response, on February 11, he wrote on Musk’s social platform X, saying, “No thanks”, and further making fun he wrote, “But we’d be willing to buy Twitter for $9.74 billion if you’re interested.”
In response to Sam Altman’s Tweet, Musk wrote using only a powerful word but describing everything. He comments below Altman’s post saying, “Swindler” which means Fraud.
During the Paris AI summit, Sam Altman talked to journalists, regarding this proposal. He mocked the whole buzz by just stating that the company is not for sale. While reporting to Reuters, he stated, “I have nothing to say. I mean, it’s ridiculous.” Altman said on the margins of an AI Summit in Paris, “The company is not for sale”. Further adding, “Elon tried all sorts of things for a long time. This is, you know, this week’s episode”.
His tone of dismissing the proposal made it clear that Elon Musk’s bid didn’t concern them, indicating that the billionaire’s attempt to disrupt the OpenAI was nothing new.
Elon Musk Sued OpenAI Twice, Taking Legal Action.
Musk has often criticized OpenAI alleging the company to turn away its core principle of ‘Non-Profit-Mission’. So far, Elon Musk has taken legal action against OpenAI twice. The first time Musk sued OpenAI was in June 2024, accusing the company of turning from its original mission by prioritizing commercial interests over its founding principles.
According to a CNN report, Musk dropped that initial lawsuit after the OpenAI published a blog post that included several of Musk’s emails from OpenAI’s early days. The emails appeared to show Musk acknowledging the need for the company to make large sums of money to fund the computing resources needed to power its AI ambitions, which stood in contrast to the claims in his lawsuit that OpenAI was wrongly pursuing profit.
Musk filed a new lawsuit in August 2024 and accused OpenAI of recklessly pushing itself to develop powerful ‘Artificial General Intelligence (AGI)’ technology to maximize profits. Musk even alleged the company of engaging in racketeering.
India Today reported, that OpenAI has submitted a letter to the federal court, arguing that Musk’s acquisition bid directly conflicts with his ongoing lawsuit against the company. The letter points out that, despite Musk’s claims that OpenAI should not operate for private gain, his proposal seeks to turn it into a for-profit entity.
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