Could Musk damage OpenAI even if his $100bn bid for it fails?
Published On Feb 16, 2025, 10:50 PM
OpenAI's board has rejected Elon Musk's $97.4 billion offer to acquire the company. Experts believe Musk's bid may complicate OpenAI's transition to a for-profit model, potentially raising costs for CEO Sam Altman. Musk aims to impact OpenAI’s growth and maintain its focus on non-profit objectives, while some speculate he is motivated by competitive pressures from his own AI company, xAI. The situation is exacerbated by ongoing tensions and a legal backdrop involving Musk's request for an injunction against OpenAI's operational changes.
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This situation creates uncertainty around OpenAI's strategic direction and operations, potentially impacting the wider AI sector.
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