3 ms·

It's a complex deal. I think we can assume sama didn't take a bad deal. This is all clearly just a prelude to Microsoft buying the whole company.

• vasco 4y ago
  > I think we can assume sama didn't take a bad deal. Why? Selling a tech company in 2023 vs late 2021 or early 2022 is already guaranteed to get a lower valuation, but why is it safe to assume that Sam Altman didn't take a bad deal? How do you know for example this wasn't just triggered because Musk needs money? It's very public that he sold a lot of Tesla stock recently and likely can't sell more without tanking it way more, twitter is a money pit, and AFAIK he is an early investor in OpenAI. The deal allows investors to cash out in this sale, so this to me screams "musk pressured everyone into creating a liquidity event".
  • SilverBirch 4y ago
    Firstly, Musks stake probably isn’t big enough for it to materially solve any of his money problems. It’s not even clear he owns any stake- he was a donor at the non profit stage and stepped away in 2019. Secondly, SpaceX is raising funds at a $137Bn valuation and Musk owns a hell of a lot more than that- if he needs cash, that would be a very easy way to get it. Finally, even if Musk was desperate to cash out, that would not explain why the Microsoft deal is buying up so much - they’re clearly doing a deal far bigger than Musks stake. Finally- plenty of people would be desperate to get into OpenAI at this point so if Musk wanted out there are plenty of other ways.