Elon Musk’s $97 Billion Bid for OpenAI: A Power Move Rejected by Sam Altman

According to reports, tech tycoon Elon Musk has made an incredible offer of $97 billion to purchase OpenAI, the company that powers ChatGPT’s artificial intelligence. Sam Altman, the CEO of OpenAI, has adamantly rejected the offer, stressing that the business is not for sale.

The Background Musk and OpenAI ’s Complex History 

Elon Musk, the owner of Tesla, and a group of investors have formally offered $97 billion to purchase OpenAI. The Wall Street Journal reported that Musk has proposed to the board of OpenAI to take over the business and return it to its nonprofit foundation. As Musk’s lawyer Marc Toberoff noted, “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.” Toberoff emphasized the significance of equitable compensation in this potential shift.

Elon Musk was one of the co-founders of OpenAI in 2015, initially envisioning it as a nonprofit organization dedicated to the ethical advancement of AI. However, Musk left the company in 2018, citing disagreements over its direction. Since then, OpenAI has transformed into a for-profit entity, attracting major investments, including a multi-billion-dollar partnership with Microsoft.

Interview with Sam Altman at the 2025 Paris AI Summit: 

Sam Altman discussed this incident with the reporter. “The company is not for sale,” he said, mocking the entire situation. “I have nothing to say,” he told Reuters. It’s absurd, really.” During a Paris AI summit, Altman emphasized, “The company is not for sale.” “Elon spends a lot of time trying different things. This is the episode for this week, you know. He made it apparent that he was unconcerned by Musk’s offer in his dismissive tone, highlighting the fact that the billionaire’s efforts to interfere with OpenAI were nothing new.

Despite Musk’s lucrative offer, Sam Altman remains steadfast in keeping OpenAI independent. OpenAI has grown into a leader in AI research, with its GPT models revolutionizing industries worldwide. Altman has previously expressed his commitment to ensuring OpenAI operates ethically and without external control, which may be a key reason behind rejecting Musk’s bid.

The letter from OpenAI to the federal court: Elon Musk’s takeover attempt, according to OpenAI’s letter to the federal court, is in direct opposition to his ongoing lawsuit against the firm. The letter notes that Musk’s plan aims to make OpenAI a for-profit company, even though he has stated that the company shouldn’t be run for personal benefit.

Musk has already filed lawsuits against OpenAI twice, in July 2024 and August 2024. He claimed in his first lawsuit that the business had strayed from its original purpose by putting profits ahead of its core values. According to the second lawsuit, which was filed in August, OpenAI was pursuing the development of artificial general intelligence (AGI) carelessly with the main goal of maximizing revenues.

Musk contends in his court documents that rather than being utilized for personal financial benefit, OpenAI’s assets ought to stay in a charity trust. According to a Reuters article, OpenAI has resisted, claiming that his takeover plan goes against this position by seeking to give all of OpenAI’s assets to himself and his private investors. 

Implications for the AI Sector

Musk’s bid to purchase OpenAI is indicative of the growing strategic importance of AI firms in the global technology market. Major tech giants are fighting for control over the development of AI since it will play a significant role in determining the future of several sectors. Even though Musk’s request was turned down, this incident highlights the fierce rivalry and power struggle around artificial intelligence’s future.

Musk, OpenAI, and other big firms like Microsoft and Google will continue to compete fiercely as AI develops, influencing the technology’s future and societal effects.