Elon Musk desires to purchase OpenAI for $97.4 billion

Elon Musk has launched a $97.4 billion bid to take management of OpenAI. The Wall Street Journal studies a bunch of traders led by Musk’s xAI submitted an unsolicited provide to the corporate’s board of administrators on Monday. The group desires to purchase the nonprofit that controls OpenAI’s for-profit arm.

When requested for remark, an OpenAI spokesperson pointed Engadget to an X post from CEO Sam Altman. “No thanks however we are going to purchase twitter for $9.74 billion in order for you,” Altman wrote on the social media platform Musk owns.

no thanks however we are going to purchase twitter for $9.74 billion in order for you

— Sam Altman (@sama) February 10, 2025

“It’s time for OpenAI to return to the open-source, safety-focused pressure for good it as soon as was,” Musk stated in an announcement his legal professional shared with The Journal. “We’ll be sure that occurs.”

OpenAI

It is laborious to say how severe this bid from Musk is and what — if any — probability it has to succeed. OpenAI will not be a standard firm, and the nonprofit structure Sam Altman and others on the firm need it to get away from could actually shield it from Musk’s provide. Had been OpenAI purely a for-profit firm with conventional shares Musk’s bid would probably set off what’s recognized in company regulation as a Revlon second, the place, underneath sure circumstances, the corporate’s board of administrators could be compelled to promote the corporate to the very best bidder to maximise shareholder income.

Musk, as you’ll be able to think about, wasn’t a fan of Altman’s joke, writing “Swindler” in response and later calling him “Rip-off Altman.”

This text initially appeared on Engadget at https://www.engadget.com/ai/elon-musk-wants-to-buy-openai-for-974-billion-215221105.html?src=rss

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