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Elon Musk Asked Mark Zuckerberg to Finance $97.4B OpenAI Bid

Elon Musk’s Controversial $97.4B OpenAI Takeover Bid: Explosive Court Filing Reveals Zuckerberg Refusal

Ashish Singh by Ashish Singh
August 22, 2025
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Elon Musk In court filings, enlisted the aid of Mark Zuckerberg, the chief executive of Meta, when trying to take ownership of OpenAI in a 97.4 billion dollar bid earlier this year. In its legal response OpenAI revealed that Elon Musk had reached out to Zuckerberg to discuss arrangements regarding funding during the attempt to take over and got none. The filing points to the intensity of competition of some of the largest technology companies in the world that are struggling to dominate in the field of artificial intelligence. The case is part of the growing legal tussle between Musk and OpenAI that is to be tried in 2026.

Oracle signs the landmark deal with OpenAI

Read also: OpenAI CEO Sam Altman Warns of AI Bubble as Investors Chase Hype, Infrastructure Spending Surges

Elon Musk Offers to Buy OpenAI and What Zuckerberg Said Responding to It

Elon Musk and his AI company, xAI, had tried to create a group of investors to buyopenAI in February 2025, according to court documents filed in Northern California. Part of that push saw  Elon Musk contact Zuckerberg with a letter of intent and ask him about potential financing or investment opportunities. According to OpenAI, such interactions were revealed through sworn testimony of  Elon Musk, in the ongoing case. But Meta and its CEO failed to sign the letter of intent, the filing shows. 

A spokesperson of Meta declined to comment on the situation and Musk and his attorney, Marc Toberoff, did not respond to requests of comment. xAI did not give any comment outside business hours. The legal reports indicate that the approach of Musk was part of a bigger effort to unite investor support in order to take control of Open AI. OpenAI has claimed that the takeover was not honest but had solely been aimed at unsettling its business. In its counterclaims, the company referred to the actions of Musk as a sham bid aimed at the damage to its side by both litigation and public criticism.

Musk Offers to Buy OpenAI and What Zuckerberg Said Responding to It

Read also: OpenAI’s $500B Worth Highlights Surging AI Investor Fever

Seeking records of Meta in Court OpenAI Seeks

OpenAI also filed a motion to request the court to order Meta to furnish documents related to Musk bid as part of how it planned to counter-suit. The production sought are any Meta-internal communications concerning the restructuring or recapitalization of OpenAI, and communications between Zuckerberg and Musk. OpenAI argued that the nature of such documents would unveil the motives of Musk and clarify whether the rival companies were interested in determining the company course of actions in the future.

In its statement, OpenAI indicated that Meta is making massive investments in AI and has entered into compensation packages of the new researchers worth upwards of $100 million. The filing also provided allegations that Meta was trying to approach OpenAI employees even as it developed its own AI skills.

In its response, Meta requested the judge to reject the motion by OpenAI citing that it was an overly burdensome request. The company maintains that OpenAI should target the relevant record or information directly to Musk and xAI and not to internal communications in Meta. Meta emphasised that its documents related to the restructuring of OpenAI were not included in the case. The conflict demonstrates the rivalry between Meta, OpenAI, and xAI created by Musk as they all compete to attain the leading position in the development of generative AI.

There is a legal conflict between Musk and OpenAI.

The wider legal battle between Musk and OpenAI started in October of 2020 when Musk sued the company and its CEO, Sam Altman. Musk accused OpenAI of going against its principle to be non-profit-seeking to a profit-seeking organization. Musk and Altman co-founded OpenAI in 2015, which later received substantial investment funds, including those of Microsoft, and as of today is one of the main AI companies. In April 2025, OpenAI sued back, citing harassment by Musk based on the legal claims, online comments, and attempted hostile takeover.

Earlier this month, U.S. District Judge Yvonne Gonzalez Rogers decided that OpenAI could pursue its accusations stating that Musk tried to damage the company in these ways. The case now is gliding towards a jury test scheduled to start in the spring of 2026. The trial will not only look at the possible breach of contract, but also the reasons as to why Musk sought to acquire OpenAI, and the motivations towards his continued competition with Altman.

There is a legal conflict between Musk and OpenAI.

Read also: Sam Altman’s Merge Labs: A Game-Changer in Brain-Computer Interface Technology to Rival Neuralink

Tension in the Artificial Intelligence Business Steeps Up

The legal cases give an insight into the growing rivalry between technology giants in the field of artificial intelligence. In 2023, Musk launched xAI in a move that would directly compete with OpenAI. Both companies have been engaged in a public and legal war over the past years in developing competing artificial intelligence. Meanwhile, Meta has also been devoting significant resources to its AI strategy, continually making attempts to hire away talent at other companies. 

The documents submitted by OpenAI underlined that the correspondence between Meta and Musk might be used as an indicator of possible bigger strategic actions organised within the sector. OpenAI called the consortium bid by Musk as detrimental to the business operation of the company and meta argued that its internal strategy deliberation should not belong in the case. As the trial date nears, the case is a clear demonstration of the collision of corporate interest, personal animosities and future of AI.

Read also: OpenAI, Google, Anthropic Join U.S. Approved AI Vendor List

FAQs

Why did Elon Musk approach Mark Zuckerberg regarding OpenAI?

According to court filings, Musk asked Zuckerberg about potential financing or investments to support his $97.4 billion bid for OpenAI.

Did Mark Zuckerberg agree to join Musk’s OpenAI takeover attempt?

No. The court filing revealed that neither Zuckerberg nor Meta signed Musk’s letter of intent for the bid.

What documents is OpenAI seeking from Meta in the case?

OpenAI requested Meta’s communications with Musk and xAI, and any internal records on OpenAI’s restructuring or recapitalization.

When is the Musk vs. OpenAI trial scheduled?

The case is moving toward a jury trial set for spring 2026 in Northern California federal court.
Tags: $97.4B OpenAI bidElon MuskMark ZuckerbergOpen AI court filing
Ashish Singh

Ashish Singh

Ashish — Senior Writer & Industrial Domain Expert Ashish is a seasoned professional with over 7 years of industrial experience combined with a strong passion for writing. He specializes in creating high-quality, detailed content covering industrial technologies, process automation, and emerging tech trends. Ashish’s unique blend of industry knowledge and professional writing skills ensures that readers receive insightful and practical information backed by real-world expertise. Highlights: 7+ years of industrial domain experience Expert in technology and industrial process content Skilled in SEO-driven, professional writing Leads editorial quality and content accuracy at The Mainland Moment

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