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OpenAI Rejects Elon Musk’s Bid, Further Escalating The Feud
- by Forbes
- Feb 17, 2025
- 0 Comments
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10 Patents, "Top 100 AI Thought Leaders", Former CDO/CAIO/CA), Author
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What does the feud between Elon Musk and Sam Altman mean and why is Elon trying to buy OpenAI
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The rivalry between Elon Musk and OpenAI has reached a new high after the company’s board unanimously rejected Musk’s bid, labeling it as an attempt to disrupt competition. OpenAI chairman Bret Taylor reinforced the organization’s stance, stating unequivocally that OpenAI is “not for sale.” This decision marks another chapter in the tumultuous history between Musk and OpenAI, as he continues to build his own artificial intelligence venture, xAI.
The History Behind the Feud
Elon Musk played a crucial role in OpenAI’s early days, co-founding the company alongside Sam Altman in 2015 with the vision of developing artificial general intelligence for the benefit of humanity. However, Musk departed in 2018 after reported disagreements over the company’s direction. Since then, OpenAI has grown into an AI powerhouse, securing major funding from Microsoft and evolving its research into commercially viable products, such as ChatGPT and DALL·E. Meanwhile, Musk has remained one of OpenAI’s fiercest critics, often condemning its shift toward a more closed, profit-driven model.
Musk’s Ambitions With OpenAI
If Musk’s bid had been accepted, it could have led to a seismic shift in the AI industry. Merging OpenAI with xAI would have created a tech giant with unparalleled resources, talent, and brand power. The combination of OpenAI’s advanced models and xAI’s open-source approach could have given Musk an unprecedented level of influence over the future of AI. Furthermore, owning OpenAI would have allowed him to steer its development in line with his vision of AI transparency and accessibility.
Beyond industry dominance, control over OpenAI’s intellectual property and workforce would have given Musk a significant advantage over competitors like Google DeepMind. Given Musk’s history of scaling and commercializing disruptive technologies through Tesla and SpaceX, an OpenAI-xAI merger could have fast-tracked his ambitions to develop AGI while potentially reshaping the AI industry’s trajectory.
OpenAI’s Response and Future Direction
By rejecting Musk’s bid, OpenAI reasserted its commitment to independence and its long-term mission. Sam Altman has repeatedly emphasized that OpenAI operates as an unconventional organization, structured to prioritize humanity’s welfare over corporate interests. OpenAI’s commitment to making AGI beneficial to society means maintaining control over its research and deployment rather than selling out to external influences—even those with deep pockets like Musk.
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