Elon Musk Offers $97.4 Billion to Acquire OpenAI, Proposes Withdrawal if Nonprofit Status is Retained

Musk's unsolicited bid for OpenAI includes conditions tied to halting its transition to a for-profit structure, intensifying a legal and public feud with CEO Sam Altman.

Elon Musk, alongside a group of investors, has offered $97.4 billion in cash to acquire OpenAI, contingent on the organization halting its planned transition to a for-profit public benefit corporation.
OpenAI CEO Sam Altman has publicly dismissed the offer, describing it as a distraction, but the nonprofit's board is legally obligated to evaluate the bid before formally rejecting it.
Musk’s legal filings suggest he will withdraw the bid if OpenAI commits to maintaining its nonprofit status, arguing that this aligns with the organization’s original mission.
The bid has been criticized by OpenAI's legal team as contradictory to Musk’s ongoing lawsuit, which claims that OpenAI’s assets cannot be transferred for private gain.
The dispute highlights broader tensions between Musk and Altman, stemming from Musk’s departure from OpenAI in 2018 and disagreements over its strategic direction and relationship with Microsoft.