Musk's Bid for OpenAI Falls Flat Board Yet to Receive Formal Offer

Title Musk's Bid for OpenAI Falls Flat Board Yet to Receive Formal Offer

The highly anticipated bid by Elon Musk to acquire OpenAI, the non-profit organization behind ChatGPT, has hit a snag. According to sources close to the matter, the formal offer from Musk's group has yet to be received by OpenAI's board of directors.

The drama began when Musk publicly announced a $97.4 billion offer to buy OpenAI. However, there appears to be confusion over whether the offer was actually sent. Despite claims that the bid was dispatched via email on Monday, OpenAI's board has not yet received it.

Musk's lawyer, Marc Toberoff, asserts that the offer was transmitted to OpenAI's outside counsel at Wachtell, Lipton, Rosen & Katz. However, the law firm has declined to comment on the matter. The bid itself is a four-page letter of intent signed by Musk and other investors, outlining their proposal to the board.

OpenAI CEO Sam Altman remains skeptical about Musk's offer, stating in an internal message to employees that the board intends to reject it based on OpenAI's mission-driven goals. The company is not for sale, and Altman views Musk's bid as another attempt to disrupt OpenAI's progress.

The stakes are high, as OpenAI prepares to transition from a nonprofit to a for-profit entity. This move would enable the organization to secure the necessary capital to develop cutting-edge AI models. However, regulators must ensure that fair market value is obtained in exchange for the nonprofit's control.

The implications of this drama extend beyond OpenAI and its shareholders. The future of AI development hangs in the balance, as the world waits with bated breath to see what will happen next. Will Musk's bid be accepted, or will OpenAI remain an independent organization? Only time will tell.

Keywords OpenAI, Elon Musk, ChatGPT, artificial intelligence, nonprofit, for-profit, corporate conversion, regulatory oversight

Edward Lance Arellano Lorilla

CEO / Co-Founder

Enjoy the little things in life. For one day, you may look back and realize they were the big things. Many of life's failures are people who did not realize how close they were to success when they gave up.