Elon Musk's unexpected $97.4 billion offer for the nonprofit controlling OpenAI has diverted attention to his efforts to prevent OpenAI's shift to a for-profit company. While OpenAI CEO Sam Altman and the board plan to reject the bid, Musk's move puts pressure on Altman and potentially jeopardizes OpenAI's mission.
Elon Musk ’s surprise bid for the nonprofit controlling artificial intelligence behemoth OpenAI did exactly what he wanted it to. Announced as OpenAI CEO Sam Altman and other business and world leaders convened in Paris for a global AI summit, the unsolicited $97.4 billion offer for the nonprofit refocused the world’s attention on Musk and his efforts to block OpenAI’s transition to a for-profit company.and sources close to OpenAI say it’s hard to imagine it going anywhere.
“The important part here is that if doesn't take it, which they almost certainly won't, then they've made clear that they think the assets Musk is trying to buy are worth more than $97 billion,” a person familiar with the company told. “So if the for-profit tries to buy them later, the nonprofit will have to get more than that — otherwise the board is likely in breach of their fiduciary duties.
In the last two months, Altman has been publicly working to shed OpenAI’s nonprofit structure entirely. The plan,, would be to transform the existing for-profit arm into a “public benefit corporation” that runs the company’s operations and business. The nonprofit, meanwhile, would hire its own leadership team to pursue charity projects, and have a significant stake in the new public benefit corporation, “at a fair valuation determined by independent financial advisors.
OPENAI ELON MUSK ARTIFICIAL INTELLIGENCE SAM ALTMAN NONPROFIT
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