Summary: Sam Altman, the CEO of OpenAI, has firmly rejected any possibility of Elon Musk taking control of the company. In a letter to OpenAI staff, Altman made it clear that the board is not considering Musk's offer. This situation isn't just about corporate control—it's about the future direction of artificial intelligence and the conflicts of interest at play in the AI industry. With OpenAI moving toward becoming a public benefit corporation and negotiating massive investments, the battle between Altman and Musk has far-reaching consequences beyond just their personal rivalry.
The Power Struggle Over OpenAI
Elon Musk has made a move to take control of OpenAI, but Sam Altman is having none of it. In a direct message to employees, Altman dismissed any notion that the board would entertain Musk’s interest. His reasoning? OpenAI's structure is specifically designed to prevent any one individual from taking it over. That alone makes it clear—Musk's offer, official or not, is dead on arrival.
But this isn't just about ownership. Altman pointed out something more significant: Musk, who now leads a rival AI company, xAI, is moving in a direction that does not align with OpenAI's mission. The implication is obvious—Musk’s interests in OpenAI may have more to do with disrupting competition than pushing its technology forward. If anything, this seems more like a strategic attempt to slow OpenAI down rather than a genuine push to influence its future.
What’s Really Going on at OpenAI?
Behind the scenes, OpenAI is undergoing a transformation. The company is moving its for-profit subsidiary into a public benefit corporation, a move that requires it to formally define and value its assets. That means OpenAI must attach a price tag to itself, making any discussion of ownership more tangible.
At the same time, OpenAI is in discussions for major investments, particularly from SoftBank, which is considering a $40 billion stake that could push OpenAI’s valuation to an eye-watering $300 billion. That financial maneuvering makes Musk’s offer even more complicated. If Musk were to put in an official bid, it would set a valuation baseline for OpenAI’s assets, making it harder for Altman or any affiliated entity to acquire those assets at a lower price.
This is where things get tricky. Altman and OpenAI’s board have little incentive to engage with Musk’s bid, especially since there is skepticism about whether Musk would actually follow through on any formal offer. His track record, including his turbulent acquisition of Twitter, raises valid concerns about his consistency and long-term commitment.
The Board’s Role and Bret Taylor’s Influence
One person caught in the middle of all this is Bret Taylor, OpenAI’s board chair. Taylor held the same role during Musk’s acquisition of Twitter, meaning he has firsthand experience dealing with Musk’s unpredictable decision-making. At Twitter, the board had a legal obligation to maximize shareholder returns. But OpenAI is structured differently—profit is not its only priority. This distinction changes everything.
Taylor and the OpenAI board are expected to negotiate a valuation of the company’s assets that aligns with its future goals, not just its current market potential. That makes dealing with Musk’s bid more complicated, especially since his involvement could shift OpenAI’s direction significantly. If Musk isn’t aligned with OpenAI’s mission, then selling to him isn’t even an option to consider.
Altman’s Skepticism About Musk
Beyond the structural issues, there’s also personal history at play. Altman has been vocal about his doubts regarding Musk’s ability to follow through on big promises. He has pointed to Musk’s past acquisitions—particularly his chaotic takeover of Twitter—as evidence that Musk tends to overpromise and underdeliver.
This skepticism isn’t unfounded. Musk has a history of aggressively pursuing projects, only to later find himself in drawn-out conflicts about execution. His involvement with OpenAI was contentious long before this takeover talk, making it reasonable for Altman and the board to question whether Musk is primarily interested in OpenAI’s success or simply in taking down a competitor.
The Bigger Picture: AI Industry Conflicts
This battle isn’t just about OpenAI—it’s about who controls the future of artificial intelligence. OpenAI and xAI are two of the biggest players in this space, and their approaches are vastly different. OpenAI has openly engaged with external stakeholders, while Musk has consistently pushed for a more centralized, Musk-driven philosophy when it comes to AI safety.
If Musk were to take over OpenAI, the entire trajectory of the company could shift to align with his broader AI ambitions. That’s likely why Altman and the board aren’t just rejecting the idea but actively calling it out as a potential threat to OpenAI’s long-term goals.
This isn’t the first time Musk has inserted himself into the AI debate, and it won’t be the last. But for now, Altman is standing firm—OpenAI isn’t for sale, and Musk isn’t the one to direct its future.
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Featured Image courtesy of Unsplash and Karsten Würth (lsJ9jHKIqHg)