Elon Musk’s consortium offers US $97.4 billion for OpenAI, but Altman rejects the bid

USA – A group of investors led by Elon Musk has made a massive US $97.4 billion bid to acquire OpenAI, the company behind ChatGPT.

However, OpenAI CEO and co-founder Sam Altman has firmly rejected the offer, making it clear that the company is not for sale.

Musk vs. Altman

Musk, who co-founded OpenAI with Altman in 2015 as a nonprofit organization, has been openly critical of the company’s shift toward a for-profit structure.

In an interview with Bloomberg Television, Altman dismissed Musk’s takeover attempt, stating, “OpenAI is not for sale. The OpenAI mission is not for sale.”

He further accused Musk of trying to slow down OpenAI’s progress, adding, “He obviously is a competitor. I wish he would just compete by building a better product, but I think there’s been a lot of tactics, many, many lawsuits, all sorts of other crazy stuff, now this.”

Musk’s legal battle against OpenAI

Musk has taken legal action against OpenAI and its leadership, arguing that they have prioritized profits over the public good.

In 2024, he filed a lawsuit, alleging that the company violated its original mission. Later that year, he sought a court injunction to prevent OpenAI from converting into a for-profit entity.

His investor group, which includes his AI startup xAI, Baron Capital Group, and Emanuel Capital, has proposed a merger between OpenAI and xAI if the acquisition were to go through.

Notably, xAI recently secured US $6 billion in funding, valuing it at US $40 billion. Meanwhile, OpenAI is engaged in its own fundraising efforts, which could push its valuation to US $300 billion, up from US $157 billion in October 2024.

OpenAI’s expanding role in healthcare

Beyond the high-stakes takeover battle, OpenAI has been making significant strides in healthcare.

In January, Altman joined U.S. President Donald Trump in launching Project Stargate, a US $500 billion initiative aimed at building AI-powered infrastructure, including massive data centers across the U.S. One of its key objectives is to revolutionize healthcare.

Altman expressed excitement about the project, predicting groundbreaking medical advancements. “We will be amazed at how quickly we are curing this cancer and that one and heart disease,” he said.

In addition, OpenAI has expanded its partnership with pharmaceutical giant Moderna, providing its employees access to ChatGPT Enterprise. This specialized platform allows companies to create custom AI tools tailored to their needs, such as analyzing medical data or assisting in research.

The race for AI safety and innovation

As AI technology advances, ensuring its safe and responsible development has become a priority. In 2023, OpenAI partnered with Google, Microsoft, and Anthropic to establish the Frontier Model Forum—a group dedicated to regulating and improving large-scale AI models.

The forum seeks to promote AI safety, collaborate with governments and researchers, and develop applications that address major societal challenges, including climate change, cybersecurity, and early disease detection. The initiative aims to bring together AI leaders committed to responsible innovation.