Elon Musk-led group makes $97.4 billion bid for OpenAI, CEO refuses and offers to "buy Twitter for $9.74 billion"

[midian182]

What just happened? Elon Musk has led a team of investors in making an unsolicited $97.4 billion bid to acquire OpenAI. The move is the latest escalation of Musk's war with OpenAI CEO Sam Altman, whose company is fighting a legal battle against the world's richest man over its transition from non-profit status. Altman responded to the bid on X by declining and jokingly offering to "buy twitter for $9.74 billion." Musk responded with "Swindler."

Musk and the consortium made the $97.4 billion offer to buy the nonprofit that controls OpenAI, writes the Wall Street Journal. The group wants all of OpenAI's assets, which would include ChatGPT, and is "prepared to consider matching or exceeding higher bids," it said.

Swindler

– Elon Musk (@elonmusk) February 10, 2025

The group claims a takeover will put OpenAI's focus back on open-source AI designed to help the world, which was the company's original goal.

"It's time for OpenAI to return to the open source, safety-focused force for good it once was," Musk told The Journal via his lawyer, Marc Toberoff. "We will make sure that happens."

Musk said that X's Grok AI model was an example of what OpenAI should be doing. "At x.AI, we live by the values I was promised OpenAI would follow," the billionaire claimed. "We've made Grok open source, and we respect the rights of content creators."

The consortium that made the bid includes Baron Capital Group Inc., Valor Management LLC, Atreides Management, LP, Vy Fund III L.P., Emmanuel Capital Management LLC, and Eight Partners VC LLC. Musk's own x.AI artificial intelligence company also backed the bid and could end up merging with OpenAI if an offer is accepted.

It's noted that Musk's efforts to purchase OpenAI could cause problems for Altman's efforts to take the company private. The for-profit branch of the firm must purchase the assets of its controlling nonprofit at a fair price. The bid raises the value of those assets, meaning the for-profit business would have to spend more.

Toberoff sent a letter to California's attorneys general last month asking that they open up bidding for OpenAI to determine the value of its charitable assets. Musk and others believe OpenAI could undervalue the nonprofit once it is spun out.

Musk was quick to criticize Donald Trump's Stargate project last month. The initiative will see several tech giants, including OpenAI, Oracle, MGX, and SoftBank, invest about $500 billion in building data centers in the US over four years. When OpenAI announced an initial investment of $100 billion, he said "They don't have the money."

They don't actually have the money

– Elon Musk (@elonmusk) January 22, 2025

Musk was one of OpenAI's original co-founders alongside Altman back in 2015. He departed the company three years later over what he said was a conflict of interest with Tesla.

Musk sued OpenAI and Altman in 2024 over claims that the pair breached their original contractual agreements by putting profit ahead of developing AI that benefits humanity. He ended the legal challenge a few months later without saying why.

Musk launched another legal battle against OpenAI in November when he filed an injunction against the firm, several of its co-founders, and main investor Microsoft to prevent its transition to a for-profit entity.

It was reported yesterday that Musk was not interested in buying TikTok's US assets, denying earlier reports.

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Elon Musk-led group makes $97.4 billion bid for OpenAI, CEO refuses and offers to "buy Twitter for $9.74 billion"

 

[OortCloud]

Anybody who renames themselves as 'Harry Bolz' - what is he 12? He's the weird kid from school now getting his revenge on the world because nobody liked him. So often the case with these super-rich. Look at Beezos, Cook or Zuckerberg. I doubt any of them touched a woman until they'd made their second million.

 

[Rudyduu]

Musk trying to buy his way into another company, colour me surprised.

 

[The Talking Tech]

Didn't Elon Musk just said he rather make companies from scratch????

Musk and Trump are not just criminals and corrupt but also total schizophrenics.

 

[Alfatawi Mendel]

Why doesn't Musk make Grok a better product, instead of trying to buy out competitors?

 

[Squid Surprise]

Didn't Elon Musk just said he rather make companies from scratch????

Musk and Trump are not just criminals and corrupt but also total is schizophrenic.

Well, Musk is a co-founder... I think he'd still count OpenAI as being built from scratch were he to reacquire it...

 

[The Talking Tech]

Serving as a bank doesn't make you a creator, just the means for the actual creator to make it possible.

 

[Squid Surprise]

Serving as bank doesn't make you a creator, just the means for the actual creator to make it possible.

I suspect Musk would disagree with you... and I didn't say he would be a creator, I said he would CLAIM to be...

 

[Xelions]

"May I Sir?"

"You May..."

Musk eat sh*t!

 

[ScottSoapbox]

Everyone is missing the point of this.

For OpenAI to reorganize as for-profit, they have to buy the non-profit's assets at fair market value which is basically an arbitrary number OpenAI can create unless a potential buyer is creating a price in the market.

Musk is merely making his competition waste VC cash.

 

[BogdanR]

If the Atreides Management guy’s name is Paul, I’d be careful…

 

[m3tavision]

Didn't Elon Musk just said he rather make companies from scratch????

Musk and Trump are not just criminals and corrupt but also total schizophrenics.

Says the schizo^ (?)

Who is just spouting fanatical feelings, nothing with actual reality or within chronology. Just more wild emotional fantasy about what someone is doing to your emotional space.


In fact, all Elon Musk is doing is shining a light on all the corruption! (Only grifters are angry at this.)

He's is exposing how OUR Taxes are being funneled through a small group of left-wing Bureaucrat's hands, out the back door to their Globalist Interest Groups & friends in Other Countries.

Elon Musk Syndrome must be a thing, because all the man has done is exposed corruption! Such as the Billions that were propping up liberal News Rags like Politicol & Associated Press, etc. He's exposed that those liberal mouthpieces are being kept afloat, by the hard working American Taxes... and now, these liberals rags will soon die off, without Deep State (ie Globalist) funding.


We need to construct a massive Statue of Elon Musk in Washington D.C. the size of Lady Liberty. To remind all Politicians that:

"We the People... see you..!"


And as a standing reminder to Bureaucrats from other countries, that we (American Tax Peyer's) are not Your slush fund.

 

[maxxcool7421]

Hahahahah as long as they purchase Broadcom network fabric, hyperscale switches, transceivers and racks of load balancing gear im all for this BS land grab that will not result in anything useful. Keep driving my stock up you *****s.

make me MORE immune to all the trump/elon stupidity like 25% tarrifs on steel and aluminum needed by :: boeing, gm ,ford, chrysler, us-honda, us-toytota, dodge, ram, jeep, tesla, construction, ship-yards, nasa, Department of defense, home depot, lowes, power companies, food processing plants for cans for food and soda, pencils, pens, steel case bullets, aluminum case bullets, armored cars, armored toop carriers, airforce, darpa ... so so so so many more ...

Alllllll the while .. please, please drive inflation to 15-20% and nationwide unemployment to 15+%

let
it
burn

 

[Kashim]

Everyone is missing the point of this.

For OpenAI to reorganize as for-profit, they have to buy the non-profit's assets at fair market value which is basically an arbitrary number OpenAI can create unless a potential buyer is creating a price in the market.

Musk is merely making his competition waste VC cash.

This is the same trick Musk tried to pull when he was butthurt about all the short-sellers trying to make money off Tesla stock. So he made up some nonsense about taking Tesla private and claimed Saudi Arabia was going to buy out Tesla. This offer for OpenAI was about as real as his "funding secured" tweet about Tesla. It didn't work then (and cost him $20 million in fines and his CEO position at Tesla) and it won't work now.

 

[netman]

"Elon Musk-led group makes $97.4 billion bid for OpenAI, CEO refuses and offers to "buy Twitter for $9.74 billion""

... And I offer to buy X for $9.74...!

 

[amstech]

The amount of corruption and fraudulent spending Musk has uncovered in just 3 weeks is crazy. The Democratic party is an absolute corrupt joke. FEMA and USAID got caught red handed and were just on the tip of the iceberg. Anyone who calls themself smart or open minded and is still a liberal/democrat after everything being uncovered is just choosing to be a close minded, entitled whimpering brat, and this generation is full of spoiled liberal brats. Shut up and sitdown while the grownups expose and fix this incompetent and degenerate mess you have all made.

 

[amstech]

-

 

[unoficialoficial]

Let's consider a scenario where OpenAI shifts to a for-profit model and changes its licensing to something akin to the LG license on EXAONE, which asserts ownership over the model weights (they are not copyrightable) and their outputs (which are on public domain). This move could lead to significant legal complications within the AI ecosystem, beyond just copyright issues. While OpenAI might believe that a for-profit status would be beneficial, there is no guarantee of success. So far, they have operated under a non-profit status without major issues. They have big salaries but they want and dividends.

 

[Squid Surprise]

He's is exposing how OUR Taxes are being funneled through a small group of left-wing Bureaucrat's hands, out the back door to their Globalist Interest Groups & friends in Other Countries.

While your entire post is basically nonsense, I really appreciated that line in particular... I'd love to hear your definition of "left wing", as the US doesn't really have any in positions of power... your country has right wing... and far right wing...

 

[kiwigraeme]

Anybody who renames themselves as 'Harry Bolz' - what is he 12? He's the weird kid from school now getting his revenge on the world because nobody liked him. So often the case with these super-rich. Look at Beezos, Cook or Zuckerberg. I doubt any of them touched a woman until they'd made their second million.

Didn't Farcebook start as a cringey/pervy rating female co-eds - always had distain for guys always making loud judgement calls, she has gap in her teeth, her feet are too big etc etc - even if these guys were all all that which they were not, it would still be distasteful

 

[RudyBob]

This is funny. Nothing like a little humor and dislike is there?

 

[bclaymiles]

Anybody who renames themselves as 'Harry Bolz' - what is he 12? He's the weird kid from school now getting his revenge on the world because nobody liked him. So often the case with these super-rich. Look at Beezos, Cook or Zuckerberg. I doubt any of them touched a woman until they'd made their second million.

Cook is a gay man, so...

 

[toooooot]

let
it
burn

Would a good person really wish this on their fellow Americans?

 

[m3tavision]

While your entire post is basically nonsense, I really appreciated that line in particular... I'd love to hear your definition of "left wing", as the US doesn't really have any in positions of power... your country has right wing... and far right wing...

That is because you live behind a firewall and don't even get basic daily news.

Since Trump took Office, each day in America, Americans are getting a peak behind the curtains of all the corruption and fraudulent programs that Obama and Democrats where a part of. All these scams and money grifting taking place.

It's MASSIVE and all Americans are talking about.


Just moments ago...
In the Oval Office, (standing next to President Trump), Elon spent 20 minutes answered Reporters question and spoke/showed/announced even more left-wing corruption embedded into US Bureaucracy.

So.. none of what I said is nonsense, it's fact and truth. The global leftists are exposed and it's cracking all the varnish on the fake-news media in EU now.

Perhaps even your wall is cracking, now that you know the truth... cuz you can't deny knowing it now.

 

[Squid Surprise]

That is because you live behind a firewall and don't even get basic daily news.

Since Trump took Office, each day in America, Americans are getting a peak behind the curtains of all the corruption and fraudulent programs that Obama and Democrats where a part of. All these scams and money grifting taking place.

It's MASSIVE and all Americans are talking about.


Just moments ago...
In the Oval Office, (standing next to President Trump), Elon spent 20 minutes answered Reporters question and spoke/showed/announced even more left-wing corruption embedded into US Bureaucracy.

So.. none of what I said is nonsense, it's fact and truth. The global leftists are exposed and it's cracking all the varnish on the fake-news media in EU now.

Perhaps even your wall is cracking, now that you know the truth... cuz you can't deny knowing it now.

Except that Biden wasn’t left wing… he was right wing… Trump is just far right wing…

And wow… a regime claiming the previous one was corrupt?!? Stop the presses!!

When the next regime takes power, you’ll hear about how corrupt his regime was I’m sure…