Categories: Technology

Musk’s OpenAI Takeover Bid Clashes with His Own Lawsuit, Says AI Firm

San Francisco, CA (February 13, 2025) – OpenAI has called out Elon Musk for contradicting his own legal arguments by offering a $97.4 billion bid to acquire the AI company’s assets. In a letter submitted to a federal court on Wednesday, OpenAI argued that Musk’s takeover attempt undermines his ongoing lawsuit against the firm.

Musk, who co-founded OpenAI as a nonprofit in 2015 but later left, sued the company’s CEO, Sam Altman, last year, claiming OpenAI should not transition into a for-profit entity. However, OpenAI now contends that Musk’s bid to buy its assets outright contradicts his legal position that the organization’s resources must remain within a charitable trust.

While Musk has not publicly responded to OpenAI’s latest statement, the legal and financial battle over the AI powerhouse continues to escalate. OpenAI maintains that its shift toward a for-profit model is essential for advancing cutting-edge AI research, while Musk, who founded rival AI startup xAI in 2023, appears determined to challenge OpenAI’s trajectory.

Source: Reuters

The Frontier Post

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