Elon Musk's Lawyer Pushes for OpenAI Stake Auction

In a bold move, Marc Toberoff, representing billionaire Elon Musk, has called upon the attorneys-general of California and Delaware to initiate an open and competitive auction for a significant stake in OpenAI. This request, detailed in a letter obtained by the Financial Times, aims to ensure fair market value for the non-profit's stake, potentially paving the way for an outside investor to gain control over the company.

This development intensifies the ongoing dispute between Musk and OpenAI's CEO, Sam Altman, especially following OpenAI's transition from a non-profit to a public benefit corporation (PBC). OpenAI has resisted the auction suggestion, advocating instead for an independent valuation process. An anonymous source familiar with the company's strategy suggests that Musk "wants more chaos," highlighting the deepening rift between the co-founder and the organization he helped establish in 2015.