OpenAI’s board has declined Elon Musk’s $97.4 billion bid, stating the organization is not for sale. This rejection reflects ongoing disputes regarding OpenAI’s shift towards a for-profit model. Musk’s legal team indicated intentions to withdraw the bid unless OpenAI retracts its for-profit plans. The situation highlights the entangled relationships and differing visions of leadership between Musk and the OpenAI board.
OpenAI’s board has officially rejected a $97.4 billion bid from a consortium led by Elon Musk, asserting that the organization is not for sale. This unsolicited offer marks Musk’s ongoing attempt to prevent OpenAI, the entity he co-founded, from transitioning into a for-profit structure. As the company seeks additional funding to maintain its competitive edge in artificial intelligence, OpenAI emphasizes its commitment to its nonprofit mission.
Bret Taylor, OpenAI’s chairman, stated on social media that the board unanimously dismissed Musk’s bid, emphasizing that any restructuring will bolster the non-profit’s mission to ensure that artificial general intelligence (AGI) benefits humanity broadly. In contrast, Musk’s attorney, Marc Toberoff, contended that OpenAI’s leadership is seeking personal gain rather than adhering to its charitable responsibilities.
Last December, OpenAI disclosed plans to reorganize itself, proposing the establishment of a public benefit corporation to facilitate fundraising without the constraints previously placed by its nonprofit parent. Musk and OpenAI CEO Sam Altman have experienced ongoing conflicts since Musk’s departure from the organization in 2019 when OpenAI launched a for-profit segment which has accrued significant funding, raising accusations regarding a deviation from its foundational ethos of prioritizing public welfare.
Elon Musk’s legal team expressed intentions to withdraw their bid for OpenAI’s nonprofit division if the organization abandoned plans to operate for profit. Claims were made that Musk’s consortium included his AI startup, xAI, along with investments from other notable firms such as Valor Equity Partners and Baron Capital. The enduring feud between Musk and Altman escalated further when Musk labeled Altman a “swindler” after Altman rejected the bid, asserting again that OpenAI is not for sale.
In summary, OpenAI firmly rejected Elon Musk’s $97.4 billion offer, reiterating its commitment to remaining a nonprofit organization. This decision aligns with the board’s aim to reinforce its mission of ensuring AGI benefits everyone. Musk’s consortium, seeking a significant influence over OpenAI’s direction, faces substantial opposition following allegations regarding personal interests over public welfare, signaling ongoing tensions between the parties involved.
Original Source: www.thejakartapost.com
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