OpenAI Board Rejects Musk's $97.4 Billion Acquisition Offer
The board of the artificial intelligence company has stated it is not for sale, following Elon Musk's proposal to buy the firm.
The board of OpenAI has officially rejected Elon Musk’s bid to acquire the company for $97.4 billion.
In a statement, Board Chair Brett Taylor expressed that "OpenAI is not for sale and the board unanimously dismissed Musk's latest attempt to disrupt its competitors." This announcement marks an ongoing conflict between OpenAI's CEO Sam Altman and Musk regarding the company's restructuring plans.
OpenAI was co-founded by Musk and Altman as a non-profit research organization that includes a for-profit entity.
The company aims to structure itself in a way that facilitates fundraising while increasing returns for investors and employees.
Musk criticized this restructuring plan, arguing that it undermines OpenAI's original mission as a non-profit organization.
Earlier this week, a group of investors led by Musk proposed to purchase OpenAI to revert it to an "open-source project focused on safety." The proposal could have significant implications for the artificial intelligence industry and may have positioned Musk, the billionaire owner of the competing xAI, as an even more influential figure in the tech sector.
However, OpenAI promptly refused the offer, with Altman suggesting on X that, "No thanks, but we will buy Twitter for $9.74 billion if you're interested." Taylor, who previously chaired the board of Twitter when Musk launched his acquisition bid, reiterated that any potential restructuring of OpenAI will enhance its non-profit intentions and ensure that artificial intelligence benefits humanity at large.
Mark Toubro, a lawyer representing Musk's investor group, remarked that the rejection was "not surprising" given Altman's previous statements.
He dismissed the assertion that OpenAI is not for sale but expressed concern over the board's actions, suggesting they appear to be selling the company to themselves for a fraction of what Musk offered.
Toubro questioned how the current board’s decision serves the interests of humanity.
In a statement, Board Chair Brett Taylor expressed that "OpenAI is not for sale and the board unanimously dismissed Musk's latest attempt to disrupt its competitors." This announcement marks an ongoing conflict between OpenAI's CEO Sam Altman and Musk regarding the company's restructuring plans.
OpenAI was co-founded by Musk and Altman as a non-profit research organization that includes a for-profit entity.
The company aims to structure itself in a way that facilitates fundraising while increasing returns for investors and employees.
Musk criticized this restructuring plan, arguing that it undermines OpenAI's original mission as a non-profit organization.
Earlier this week, a group of investors led by Musk proposed to purchase OpenAI to revert it to an "open-source project focused on safety." The proposal could have significant implications for the artificial intelligence industry and may have positioned Musk, the billionaire owner of the competing xAI, as an even more influential figure in the tech sector.
However, OpenAI promptly refused the offer, with Altman suggesting on X that, "No thanks, but we will buy Twitter for $9.74 billion if you're interested." Taylor, who previously chaired the board of Twitter when Musk launched his acquisition bid, reiterated that any potential restructuring of OpenAI will enhance its non-profit intentions and ensure that artificial intelligence benefits humanity at large.
Mark Toubro, a lawyer representing Musk's investor group, remarked that the rejection was "not surprising" given Altman's previous statements.
He dismissed the assertion that OpenAI is not for sale but expressed concern over the board's actions, suggesting they appear to be selling the company to themselves for a fraction of what Musk offered.
Toubro questioned how the current board’s decision serves the interests of humanity.
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