Musk Vs. Altman: From Partners To Rivals In AI Power Struggle

It’s like a Silicon Valley soap opera but with billions of dollars and the future of artificial intelligence at stake. Elon Musk and Sam Altman — once allies, now rivals — are in a full-blown power struggle over AI supremacy.

And now? They both want to buy each other’s companies. Let’s break down this high-stakes tech drama.

From Friends to Frenemies: A Quick History Lesson

Once upon a time (well, 2015), Musk and Altman were on the same team, quite literally. They co-founded OpenAI as a nonprofit, aiming to ensure artificial intelligence benefited humanity, not just Big Tech.

Back then, AI was still more sci-fi than reality, but Musk, Altman, and a group of visionaries saw its potential — and its risks. They positioned OpenAI as a counterbalance to Google’s dominance in AI research.

One of their early believers? Nvidia CEO Jensen Huang. He provided OpenAI with its first AI supercomputer — a move that, in hindsight, was like handing Tony Stark a prototype Iron Man suit.

But things got messy.

The Breakup: When Musk Left The Chat

In 2018, Musk walked away from OpenAI, citing disagreements over its direction. He wanted more control, but the board pushed back. Then in November 2022, OpenAI publicly released ChatGPT, and all hell broke loose.

Since then, Musk has been OpenAI’s loudest critic, calling it a “closed-source, profit-driven entity” that’s strayed from its original mission.

He even accused Microsoft of having too much influence over the company – the Satya Nadella-led tech giant has invested about $14 billion in OpenAI.

But, Altman steered OpenAI to make it one of the most powerful AI firms on the planet and Musk continued to get angry. He even sued OpenAI and Altman, claiming they betrayed their founding principles.

Musk Strikes Back: Enter xAI

After months of watching OpenAI’s rise, Musk launched xAI in 2023 to rival ChatGPT-parent. His team built Grok, an AI chatbot designed to be more edgy and independent than ChatGPT.

He secured thousands of Nvidia GPUs to train his AI models and integrated Grok into X, turning the social media platform into an AI-powered hub.

Last year in November, xAI was valued at $50 billion.

A Billionaire Bidding War

Now, Musk reportedly wants to buy OpenAI outright — leading a $97.4 billion bid to wrestle control away from Altman and Microsoft.

The response? OpenAI’s board is expected to reject the offer. And because tech feuds are never one-sided, Altman has already responded on X saying, "No thank you but we will buy Twitter for $9.74 billion if you want."

That’s right, both of them want to acquire each other’s companies. You can’t make this up.

In October 2024, OpenAI's valuation reached $157 billion during a funding round. A report from last month suggests the company may seek new funding, potentially raising its valuation to $300 billion.

So… Are You Team Musk Or Team Altman?

The rivalry isn’t just about products — it’s personal. Musk frequently criticizes OpenAI on X, claiming it has abandoned its nonprofit roots, while Altman continues to build alliances in Silicon Valley.

If you are:

Team Musk: You believe AI should be open-source, decentralized, and not controlled by Microsoft or other tech giants.

Team Altman: You think OpenAI has the best shot at building safe, scalable AI while maintaining industry dominance.

Or maybe you’re just here for the drama.

Either way, buckle up. This fight isn’t over—and with trillions in future AI revenue at stake, it’s only going to get bigger.

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