Elon Musk and OpenAI once had a relationship where both co-existed for the good of AI, but that did not last long as they had a fallout. Now, the AI company is reportedly exhausting its options to prevent his return.
The company is reportedly considering giving its nonprofit board special voting powers that can be powerful enough to prevent takeovers and unwanted decisions from its backers.
The latest considerations from OpenAI came after Musk and his group of investors came up with a $97 billion bid to purchase the AI company despite the billionaire already owning a competitor, xAI.
OpenAI Considers Giving Nonprofit Board Voting Powers
The Financial Times reported that OpenAI is now considering the options that could help it strengthen its stand against external factors, with people familiar with its internal discussions sharing the latest scoop. According to the report, OpenAI is now considering giving its nonprofit board special voting powers that would give them more power in the restructured company.
If given this kind of power, the nonprofit board of OpenAI will have the capability to overrule the company's investors, including major backers like Microsoft and SoftBank, and prevent any major changes from within.
As of press time, there have been no final, official decisions from the company that can change its internal structure.
Read Also: Elon Musk Makes $97.4 Billion Bid for OpenAI, But Sam Altman Fires Back With 'No, Thank You'
This Option Is Helpful Against Elon Musk's Purchase
The report highlighted that this latest option that OpenAI is considering is also a beneficial one, particularly as it can fend off takeovers, especially after Musk put down a bid to purchase the company.
Musk is known for threatening OpenAI with this bid because of their plans to transform as a for-profit company, and the billionaire claimed he would back off if OpenAI stayed as a non-profit.
OpenAI vs. Elon Musk: The Feud Continues
Musk and OpenAI have been in conflict for a while now, and this led to the tech mogul leaving the company he co-founded due to corporate decisions he did not approve of. However, this came to haunt the company back as Musk is now actively thwarting their plan to turn the company's business model into a for-profit one, with the billionaire recently filing an injunction.
Over the past months, both Musk and OpenAI's founder and CEO, Sam Altman, have had several run-ins on social media where both expressed their disdain for the other, with the tech billionaire straight up addressing Altman on one occasion. Earlier this year, Musk replied to a tweet by Altman about Stargate, the new company that will build OpenAI's infrastructure data centers, and claimed that it is not real.
The bad blood continues but that does not mean OpenAI is holding back, which is manifested by plans to give its nonprofit board special voting powers.
