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Musk's Grand Ambition: Tried to Rope Zuckerberg into $97.4B OpenAI Deal

Published 4 days ago3 minute read
David Isong
David Isong
Musk's Grand Ambition: Tried to Rope Zuckerberg into $97.4B OpenAI Deal

A recent court filing has brought to light an intriguing attempt by Elon Musk to involve Meta founder Mark Zuckerberg in a substantial $97.4 billion bid to acquire OpenAI, the company behind the popular ChatGPT. This revelation, made public through a court document submitted by OpenAI to the Northern District of California federal court, details how Musk reportedly approached Zuckerberg regarding potential financing for a takeover. Surprisingly, this overture occurred just a year and a half after the two tech titans engaged in a high-profile public dispute, even leading to discussions of a potential cage fight, highlighting the unexpected nature of Musk's alleged outreach.

The court filing is part of an ongoing legal battle between Elon Musk and OpenAI. In its submission, OpenAI explicitly stated that Musk identified Mark Zuckerberg as one of the individuals with whom he had communicated concerning the potential financing for a deal to purchase the generative AI company. OpenAI further alleged that the Tesla CEO disclosed these communications with Zuckerberg during sworn interrogations, adding a layer of official documentation to the claims.

Seeking to further understand the context and motivations behind the bid, the Sam Altman-led OpenAI has requested that a federal judge order Meta Platforms to produce various documents and communications. Specifically, OpenAI is looking for information related to its own restructuring or recapitalization. The company argued that Meta's communications with other potential bidders, or its internal discussions including those involving Musk, would shed crucial light on the motivations driving the substantial acquisition attempt. OpenAI emphasized its view of both Musk and Meta as two of its most significant competitors in the rapidly evolving AI landscape.

Despite Musk's alleged efforts, neither Mark Zuckerberg nor Meta ultimately signed the letter of intent or participated in the $97.4 billion bid. OpenAI had previously formally rejected Musk's unsolicited offer in February. Meta, in its response to OpenAI's subpoena, has asked the court to deny the request. Meta contended that OpenAI should seek any relevant documents directly from Musk and his AI startup, xAI, which is a direct competitor to ChatGPT. Meta asserted that its own internal communications regarding OpenAI's restructuring or recapitalization are not relevant to the ongoing legal action, stating, “To the extent OpenAI seeks Meta documents that plaintiffs do not have, such documents are not relevant to this action.”

It was revealed that in February of the current year, Elon Musk, along with a group of other investors, had made an unsolicited offer aimed at taking control of the non-profit holding company that oversees OpenAI. Sam Altman, OpenAI's CEO, promptly and famously rejected this offer via a social media post on X, humorously quipping, “no thank you but we will buy twitter for $9.74 billion if you want.” This ongoing dispute underscores the intense competition and complex power dynamics at play within the artificial intelligence sector.

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