Elon Musk, the world’s richest person, approached Meta CEO Mark Zuckerberg to fund a $97.4 billion takeover of OpenAI in February 2025, court documents revealed on Thursday. The proposal, part of a legal battle between Musk and OpenAI, aimed to secure financing through Musk’s AI venture, xAI.
The filing stems from a lawsuit Musk initiated against OpenAI in 2024, accusing the ChatGPT maker of abandoning its non-profit roots. Musk, who co-founded OpenAI in 2015 with Sam Altman and others, opposed the company’s shift to a for-profit model. OpenAI, backed by billions from Microsoft, has since become a generative AI leader, sparking Musk’s ire.
Musk’s xAI sent Zuckerberg a letter of intent, seeking potential investment or financing arrangements. Neither Meta nor Zuckerberg signed the document, according to the filing. Meta, which is investing heavily in its own AI capabilities, declined to comment. Musk’s attorney, Marc Toberoff, did not respond to inquiries.
OpenAI’s legal team issued a subpoena to Meta in June, demanding communications between Zuckerberg, Meta, and Musk regarding the bid. OpenAI also seeks Meta’s records on any restructuring or recapitalisation plans for OpenAI. Meta resisted, calling the request overly burdensome and irrelevant, arguing Musk and xAI should provide the information instead.
The lawsuit, unfolding in a Northern California federal court, has escalated tensions. OpenAI accuses Musk and xAI of a “sham bid” that harmed its business, alleging harassment through litigation and public attacks. A judge recently allowed OpenAI’s counterclaims against Musk to proceed.
Musk’s outreach to Zuckerberg is a surprising twist, given their public rivalry. In 2023, Musk challenged Zuckerberg to a cage fight after Meta launched Threads, a rival to Musk’s X platform. The fight never happened, but their competition in AI has intensified.
Meta has been aggressively building its AI capabilities, reportedly offering $100 million pay packages to top researchers and attempting to recruit OpenAI talent, including Shengjia Zhao, a ChatGPT co-creator. Meta also committed $14 billion to Scale AI and explored acquisitions of other AI labs.
OpenAI’s subpoena battle with Meta continues, with the outcome potentially shaping Musk’s lawsuit and the broader AI landscape. The court has yet to rule on Meta’s objection to the document request.
