OpenAI board rejects Elon Musk’s US$97.4 billion offer
The ChatGPT maker is not for sale, the board says, as Musk tries to block the start-up from becoming a for-profit firm
OpenAI on Friday rejected a US$97.4 billion bid from a consortium led by billionaire Elon Musk for the ChatGPT maker, saying the start-up was not for sale and that any future bid would be disingenuous.
The unsolicited approach is Musk’s latest attempt to block the start-up he co-founded with OpenAI CEO Sam Altman – but later left – from becoming a for-profit firm, as it looks to secure more capital and stay ahead in the artificial intelligence race.
“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 non-profit and its mission to ensure AGI benefits all of humanity,” it said on X, quoting OpenAI Chairman Bret Taylor on behalf of the board.
Musk’s lawyer Marc Toberoff, in a statement, responded that OpenAI was putting control of the for-profit enterprise up for sale, and said the move would “enrich its certain board members rather than the charity”.
OpenAI in late December had outlined plans to revamp its structure, saying it would create a public benefit corporation to make it easier to “raise more capital than we’d imagined”, and remove the restrictions imposed on the start-up by its current non-profit parent.
Altman on Monday had rebuffed the consortium’s offer with a “no thank you” posted on X, prompting Musk to retort: “swindler”. On Tuesday, Altman told news website Axios that OpenAI was not for sale.