OpenAI Board Rejects Elon Musk's $94.7 Billion Acquisition Offer

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OpenAI Board Unanimously Dismisses Musk's Bid, Citing Competitive Concerns / AFP

The board of OpenAI has unanimously rejected a $94.7 billion acquisition proposal from Tesla CEO Elon Musk, citing concerns over potential disruption to competition.

According to The New York Times (NYT), OpenAI board chairman Bret Taylor stated, “OpenAI is not for sale. The board has unanimously decided to reject Musk’s recent attempts to interfere with our operations.” Taylor emphasized that OpenAI’s ongoing organizational restructuring aims to reinforce its mission of ensuring artificial general intelligence (AGI) benefits all of humanity.

Musk’s legal representative, Mark Toberoff, countered this decision by asserting that OpenAI is in the process of selling control to for-profit entities. He further claimed that this move would primarily benefit certain board members rather than the organization’s broader nonprofit mission.

Musk and a consortium of investors had submitted a bid to acquire OpenAI’s nonprofit assets. In a statement, Musk expressed his belief that OpenAI should revert to its original vision as an open-source organization prioritizing safety. “Now is the time for OpenAI to return to its roots as a transparent, safety-focused initiative, and I will ensure that happens,” Musk declared.

OpenAI was originally co-founded in 2015 by Musk and current CEO Sam Altman with the shared goal of advancing AI for the collective benefit of humanity. However, internal conflicts led Musk to step down from the board in 2018. Following his departure, Altman established a for-profit subsidiary and secured significant funding through a partnership with Microsoft.

Musk has since criticized OpenAI’s transition toward commercialization, arguing that it deviates from its founding principles. He is currently engaged in a legal battle against OpenAI and Altman, accusing them of prioritizing profit over their original nonprofit mission.

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