Elon Musk has made headlines again, this time with a bold $97.4 billion bid to take control of OpenAI. On Monday, a group of investors led by Musk’s xAI submitted an unsolicited offer to OpenAI’s board of directors.
This bid aims to buy out the nonprofit organization that controls the for-profit arm of OpenAI, the company behind the popular AI model GPT-3.
However, Musk’s ambitious offer quickly hit a roadblock. OpenAI’s spokesperson pointed to a playful yet pointed response from CEO Sam Altman on X, Musk’s own social media platform.
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In his post, Altman quipped, “No thank you, but we will buy Twitter for $9.74 billion if you want.” This response, a clear reference to Musk’s recent purchase of Twitter for $44 billion, signaled OpenAI’s firm stance against Musk’s 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."
—Bret Taylor, Chair, on behalf of…
— OpenAI Newsroom (@OpenAINewsroom) February 14, 2025
OpenAI’s Board Stands Firm Against Musk’s Proposal
On Friday, OpenAI’s board made its position crystal clear by unanimously rejecting Musk’s bid. In an official statement, Bret Taylor, chair of OpenAI’s board, emphasized that “OpenAI is not for sale” and that Musk’s attempt to disrupt the competition had been firmly dismissed.
He further stressed that OpenAI’s commitment to remaining a nonprofit was key to its mission of ensuring Artificial General Intelligence (AGI) benefits all of humanity.
Interestingly, Taylor, who was also the chairman of Twitter’s board before Musk’s acquisition, reiterated that any potential reorganization of OpenAI would focus on strengthening its nonprofit structure.
This commitment to a mission-driven, safety-focused model sets OpenAI apart from traditional tech firms, and the board’s rejection shows its desire to retain control over the company’s future direction.
Musk’s Plans for OpenAI and the Road Ahead
Despite the rejection, Musk remains vocal about his vision for OpenAI. In a statement shared through his attorney, Musk insisted that OpenAI must “return to the open-source, safety-focused force it once was,” emphasizing his belief in AGI’s potential to positively impact the world.
His statement hints at a future where OpenAI’s mission aligns more closely with his own vision for the development of artificial intelligence.
However, Musk’s bid faces significant hurdles, especially given OpenAI’s unique nonprofit structure.
Unlike traditional for-profit companies, OpenAI’s nonprofit status shields it from certain corporate takeover laws, such as the Revlon rule, which forces companies to accept the highest bid under specific circumstances.
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