Reports suggest that OpenAI has formally communicated its stance to Musk’s legal team, deeming the proposal inconsistent with the organisation’s mission.
OpenAI has firmly turned down Elon Musk’s $97.4 billion offer to purchase the nonprofit, with its board labelling the move as an attempt to undercut competition in the AI space.
Bret Taylor, OpenAI’s Board Chair, shared a statement on the X platform (formerly Twitter), emphasising that the company is not for sale. “The board has unanimously rejected Mr. Musk’s latest attempt to disrupt his competition. Any potential reorganisation of OpenAI will only strengthen our nonprofit mission to ensure AGI benefits all of humanity,” he wrote.
Reports suggest that OpenAI has formally communicated its stance to Musk’s legal team, deeming the proposal inconsistent with the organisation’s mission.
Earlier in the week, Musk’s AI venture, xAI, in collaboration with a group of investors, had floated the offer to acquire OpenAI. However, the bid was swiftly dismissed by CEO Sam Altman and the company’s board.
Andy Nussbaum, OpenAI’s legal counsel, reiterated the nonprofit’s position, stating Musk’s offer “doesn’t set a value for OpenAI’s nonprofit” and reaffirming that the company is “not for sale.”
Musk, a co-founder of OpenAI, has a long-standing legal dispute with the organisation. He filed a lawsuit against the company and CEO Sam Altman, alleging anticompetitive practices and governance issues.
In October last year, Musk sought a preliminary injunction against OpenAI, accusing it of misconduct, including converting its governance structure to a for-profit entity and transferring intellectual property.
OpenAI has consistently rejected Musk’s allegations, describing them as “baseless” and devoid of merit. “Elon’s fourth attempt, recycling the same unfounded complaints, is yet another distraction,” the company said in its latest statement.
The dispute underscores the growing tensions between Musk and OpenAI, once collaborators in the AI sector but now fierce competitors.
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