Elon Musk Recruited Zuckerberg for $97B OpenAI Buyout Bid

Court documents reveal Elon Musk approached Mark Zuckerberg in early 2025 to join a $97.4 billion bid to acquire OpenAI, which Musk co-founded but later left. OpenAI rejected the offer, fueling Musk's lawsuit accusing it of abandoning its nonprofit mission. This highlights intensifying AI rivalries among tech giants.
Elon Musk Recruited Zuckerberg for $97B OpenAI Buyout Bid
Written by Mike Johnson

In a surprising twist revealed through court documents, Elon Musk, the billionaire entrepreneur behind Tesla and xAI, approached Meta Platforms Inc.’s chief executive, Mark Zuckerberg, earlier this year to potentially collaborate on a massive $97.4 billion bid to acquire OpenAI. The outreach, detailed in filings from Musk’s ongoing lawsuit against the AI startup, underscores the intensifying rivalries and alliances forming among tech titans as they vie for dominance in artificial intelligence development. According to a report from CNBC, Musk made the request in early 2025, seeking Zuckerberg’s financial backing for what was described as an unsolicited takeover attempt.

The bid itself emerged in February, when Musk, leading a consortium through his xAI venture, proposed the eye-watering sum to buy out OpenAI, the company he co-founded in 2015 but left in 2018 amid disputes over its direction. OpenAI swiftly rejected the offer, citing its commitment to independent fundraising efforts, which at the time were rumored to value the startup at around $100 billion or more. This rejection has since fueled Musk’s legal battle, where he accuses OpenAI of straying from its original nonprofit mission by partnering with Microsoft and prioritizing profits over safety.

The Legal Entanglements Deepen

Court filings unsealed on August 21, 2025, show that OpenAI’s legal team subpoenaed Meta in June, demanding documents related to any discussions between Musk and Zuckerberg about the bid. As reported by Bloomberg, OpenAI alleges that Musk met with Zuckerberg to explore financing options, though Meta has objected to the subpoena, arguing it’s overly broad and irrelevant. The startup’s lawyers claim to have learned of these communications through various sources, pushing for a court order to access potential evidence.

This development adds a layer of intrigue to Musk’s lawsuit, filed in March 2025, which seeks to block OpenAI from converting to a for-profit entity and demands the return of investments. Insiders familiar with the case suggest that involving Zuckerberg—a direct competitor in the AI race with Meta’s Llama models—could indicate Musk’s strategy to consolidate power against OpenAI’s lead in generative AI technologies like ChatGPT.

Rivalries and Strategic Alliances

Public sentiment on platforms like X, formerly Twitter, reflects Musk’s ongoing frustration with OpenAI. In posts from recent months, Musk has criticized the company’s structure, once stating that if OpenAI’s model of blending nonprofit roots with for-profit extraction is valid, it could “double your returns” for investors—a jab at what he sees as ethical lapses. He has also touted xAI’s Grok models as superior, predicting in an August 21 post that Grok 5 could achieve “true AGI,” highlighting his ambition to outpace rivals.

Zuckerberg’s involvement, or lack thereof, remains murky. Meta did not ultimately join the bid, per OpenAI’s filing, but the mere discussion raises questions about potential cross-company collaborations in an industry where antitrust scrutiny is mounting. A TechCrunch analysis notes that OpenAI is probing whether Meta had any coordinated plans, which could complicate ongoing federal investigations into Big Tech’s AI investments.

Implications for AI’s Future

The $97.4 billion valuation Musk proposed dwarfs previous AI deals, signaling how valuations have skyrocketed amid the boom in large language models. For context, OpenAI’s last funding round in 2024 reportedly sought $6.5 billion at a $150 billion valuation, as covered by The New York Times. Musk’s bid, if successful, might have reshaped the sector, potentially integrating OpenAI’s tech into xAI or Tesla’s autonomous driving efforts.

Yet, experts argue this episode exposes vulnerabilities in AI governance. “It’s a high-stakes game where personal vendettas meet billion-dollar ambitions,” said one venture capitalist close to the matter, speaking anonymously. Zuckerberg’s Meta, meanwhile, has ramped up open-source AI initiatives, contrasting with OpenAI’s more guarded approach, which could explain his hesitation to align with Musk.

Broader Industry Ripples

Recent news on the web, including a briefing from The Information, confirms that Musk directly discussed the OpenAI acquisition with Zuckerberg, though details of their conversation—such as any shared concerns over AI safety or market control—remain undisclosed. On X, discussions among tech enthusiasts amplify speculation, with some users noting Musk’s July posts about AI as a “neurotransmitter tonnage maximizer,” hinting at his philosophical divergence from OpenAI’s path.

As the lawsuit progresses in San Francisco federal court, this revelation could force more transparency from all parties. For industry insiders, it serves as a reminder of the fluid alliances in tech: today’s rivals might be tomorrow’s partners in the quest to control AI’s trajectory. OpenAI, for its part, continues to innovate, recently announcing advancements in multimodal AI, while Musk pushes xAI toward what he calls “maximum truth-seeking.” The outcome of this bid’s fallout may well dictate the next phase of competition among Silicon Valley’s elite.

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