Musk OpenAI Takeover Bid Rejected as Tech Titans Clash in White House Drama

In a dramatic escalation of tensions between technology’s most prominent figures, OpenAI’s chief executive Sam Altman has rebuffed a £97.4 billion takeover attempt from former co-founder Elon Musk, sparking a heated exchange that has reverberated through both Silicon Valley and the White House.

The rejection prompted Musk to launch a scathing attack, labelling Altman a “swindler” after the OpenAI chief responded with a mocking counter-offer to purchase Twitter for £9.74 billion – a pointed reference to the social media platform’s significant devaluation since Musk’s £44 billion acquisition in 2022.

The hostile takeover attempt, backed by a consortium including Valor Equity Partners, Baron Capital, and Vy Capital, aims to restore OpenAI to its original non-profit mission. Musk’s legal representative, Marc Toberoff, confirmed to The Wall Street Journal that the offer was formally presented to OpenAI’s board on Monday, with assurances that the group would match or exceed competing bids.

The timing of this corporate warfare has proved particularly awkward for the Trump administration, where both tech titans hold influential positions. The dispute has already overshadowed the announcement of Stargate, a landmark AI infrastructure project valued at £500 billion, involving OpenAI, SoftBank, and Oracle.

Industry observers note that this battle extends beyond corporate control, touching on fundamental questions about artificial intelligence’s future development and commercialisation. Musk’s legal actions against OpenAI centre on allegations that Altman betrayed the organisation’s original charitable mission, particularly through its profitable partnership with Microsoft.

The conflict has raised concerns among White House officials about Musk’s ability to separate his personal business disputes from his governmental responsibilities as head of the Department of Government Efficiency, where he oversees significant federal restructuring efforts.