Elon Musk’s $97.4 Billion OpenAI Bid Rejected: What’s Next for AI’s Future?

Elon Musk’s attempt to buy OpenAI for $97.4 billion has been officially rejected by the company’s board. Musk, who co-founded OpenAI a decade ago, wanted to return the AI startup to its original mission of being an open-source, safety-focused organization. But OpenAI’s leadership isn’t budging, calling the offer a tactic to “slow us down” and reaffirming their commitment to building AI that benefits humanity.

The bid, backed by major investors like Valor Equity Partners and Baron Capital, was quickly dismissed by OpenAI CEO Sam Altman. He stressed that the company is “not for sale” and remains focused on its mission to develop artificial general intelligence (AGI) for the greater good. Musk’s lawyers argue that OpenAI’s planned restructuring into a for-profit entity is essentially a sale to itself, raising questions about who truly benefits from the move.

This isn’t the first time Musk has tried to disrupt OpenAI’s plans. He’s filed lawsuits accusing the company of straying from its founding principles and even asked a court to block its restructuring efforts. However, a judge recently expressed reluctance to intervene in what she called a case of “billionaires versus billionaires.”

Meanwhile, OpenAI is in talks with SoftBank for a massive funding round that could value the company at $300 billion. The ongoing tension with Musk could complicate these negotiations, especially as the company navigates its transition from a nonprofit-controlled entity to a more traditional for-profit business.

What’s clear is that OpenAI’s board is standing firm. They’ve emphasized that any reorganization will strengthen the nonprofit’s mission to ensure AGI benefits all of humanity. But with Musk’s $97.4 billion offer now on the table, the pressure is on to prove that their vision aligns with that promise.

This showdown isn’t just about money — it’s about the future of AI and who gets to shape it. As OpenAI moves forward, the world will be watching to see if it can stay true to its mission or if the allure of profit will change the game entirely.