Elon Musk and a group of investors have offered $97.4 billion to purchase OpenAI's controlling non-profit organization. This move comes amid growing tensions between Musk and OpenAI's current leadership.

The bid was formally submitted to OpenAI's board on Monday, with Musk's lawyer Marc Toberoff stating their intention to return OpenAI to its original open-source, safety-focused mission.

Key Background:

• OpenAI was founded in 2015 by Sam Altman, Elon Musk, and others as a non-profit
• Musk initially invested $1 billion but left the board in 2018
• Current tensions stem from OpenAI's shift toward a for-profit model
• Musk previously attempted to take control in 2018 but was rejected

Recent Developments:

• The offer comes after OpenAI's announcement of "Stargate," a $500 billion AI infrastructure project with Oracle and SoftBank
• Sam Altman quickly rejected Musk's offer, counter-offering to buy Twitter for $9.74 billion
• Altman assured employees that OpenAI's structure prevents any individual from taking control

The investor group backing Musk includes:

• xAI (Musk's AI company)
• Valor Equity Partners
• Baron Capital
• Atreides Management
• Vy Capital
• 8VC
• Ari Emanuel's investment fund

According to recently released documents, Musk had previously supported OpenAI's transition to a for-profit model, but departed when he couldn't secure leadership control. The investor group has stated they're prepared to match or exceed any competing bids.

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