Musk’s $97.4 billion OpenAI bid piles pressure on Sam Altman

Author

Noel Moldvai
February 13, 2025

TL;DR. We are getting to the point where Elon is mentioned in this newsletter once or twice a week. Either we have an undying obsession for the future president of Mars or he’s just really good at understanding and controlling the 24 hours news cycle… either way, we are here for it.

Musk’s $97.4 billion OpenAI bid piles pressure on Sam Altman

Elon Musk’s $97.4 billion bid for OpenAI could complicate Sam Altman’s efforts to spin out the nonprofit and raise $40 billion in funding. Altman rejected the offer, calling it a competitive tactic. OpenAI’s board may reassess its valuation, while legal hurdles and investor negotiations further complicate the transition to for-profit.

Anthropic CEO Dario Amodei warns of “race” to understand AI as it becomes more powerful

Anthropic CEO Dario Amodei criticized the AI Action Summit as a “missed opportunity,” urging faster AI governance amid rapid advancements. He emphasized balancing innovation and safety, dismissed DeepSeek’s training cost claims, and hinted at upcoming Claude models improving reasoning. He sees AI disrupting industries like pharma, legal, and finance.

OpenAI says Musk's takeover bid contradicts his lawsuit against it

Elon Musk's $97.4 billion bid for OpenAI contradicts his lawsuit arguing its assets should remain nonprofit, OpenAI told a federal court. Musk's legal filings oppose OpenAI’s transition to a for-profit entity, yet his offer seeks to transfer its assets to private investors, raising questions about his motives and consistency.

AI agents are everywhere…and nowhere

AI agents are emerging, but businesses remain hesitant due to reliability and cybersecurity concerns, as discussed at WSJ’s CIO Network Summit. While 61% are experimenting, most see limited value so far. Vendors urge adoption despite imperfections, while companies like OpenAI and Microsoft push AI assistants and agents to automate tasks.

Secondary markets improve access to private investments

The term “democratization” is often used when discussing alternative investments—and for good reason. Historically, American democracy expanded to grant all citizens the right to buy and own land. Today, a similar shift is happening in other parts of the economy, as companies strive to make private markets more accessible, enabling more investors to build wealth.

Private investments like private equity (PE) and venture capital (VC) have traditionally been limited to institutional investors, high-net-worth individuals, and company insiders due to high entry costs and long investment horizons.

However, the growth of secondary markets is dismantling these barriers, opening up new opportunities for broader participation.

Quick Takes

Cheerio! Until next week.
-Noel