Elon Musk Makes $97.4 Billion Bid for OpenAI.

February 11, 2025: Elon Musk has submitted a $97.4 billion bid to acquire OpenAI, the company behind ChatGPT. This marks the latest chapter in his long-standing conflict with OpenAI’s leadership. Musk’s attorney, Marc Toberoff, confirmed that the offer was for all the company’s assets and was submitted to OpenAI’s board.

Sam Altman, OpenAI’s CEO, quickly dismissed the offer, responding on X: “No thank you, but we will buy Twitter for $9.74 billion if you want.” His rejection does not eliminate the possibility of a sale, as OpenAI’s board has the final decision and could consider a higher bid.

Musk, a co-founder of OpenAI, left the company in 2018 and has since become one of its most vocal critics. He argues that OpenAI has strayed from its original mission as a non-profit dedicated to developing AI for the benefit of humanity. The company has since transitioned into a for-profit model, which Altman and OpenAI executives defend as necessary to secure funding for advanced AI development.

Industry analysts remain skeptical about Musk’s true intentions. Some speculate that the bid is more about legal and strategic leverage than an acquisition attempt. OpenAI’s most recent valuation reached $157 billion in October 2024, with reports suggesting that ongoing funding rounds could push it to $300 billion. Musk’s bid falls significantly short of these figures.

Despite the rejection, Musk’s consortium has stated it is willing to match or exceed higher offers. His legal battle against OpenAI, where he accuses the company of breaching its founding principles, is still ongoing.

Meanwhile, OpenAI is moving forward with ambitious expansion plans. The company recently partnered with Oracle, a Japanese investment firm, and an Emirati sovereign wealth fund to build $500 billion of AI infrastructure in the U.S. The initiative, called The Stargate Project, was announced at the White House, with President Donald Trump calling it “the largest AI infrastructure project in history.”

Musk has cast doubt on the project’s funding, but the AI arms race continues, with OpenAI securing primary backing and Musk actively positioning himself in the future of artificial intelligence.

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