Sam Altman Despises Elon Musk. Now He Is Going After His Companies

Key Concepts:

• Sam Altman vs. Elon Musk feud
• OpenAI vs. XAI competition
• Brain-computer interface (BCI) competition (Merge Labs vs. Neuralink)
• Social media competition (OpenAI's potential "X-like" network vs. X)
• Self-driving technology competition (OpenAI & Applied Intuition vs. Tesla)
• Space exploration competition (Longshot Space vs. SpaceX)

1. Origins of the Feud and Initial Collaboration

• Sam Altman and Elon Musk initially collaborated, bonding over concerns about the dangers of AI.
• They co-founded OpenAI in 2015 as a non-profit organization with the goal of developing AI responsibly.
• Musk left OpenAI's board in 2018 following a failed power grab.

2. Escalation of the Rivalry

• The feud has escalated into personal attacks, social media exchanges, and lawsuits.
• Musk has referred to Altman as "scam Altman" and "Swindly Sam."
• Altman has stated that Musk "can't be a happy person" and that his "whole life is from a position of insecurity."
• Musk sued Altman to prevent OpenAI from becoming a for-profit entity; Altman countersued, claiming Musk has worked "nonstop to torpedo OpenAI."

3. OpenAI vs. XAI

• After OpenAI released ChatGPT in late 2022, Musk founded XAI in March 2023, positioning it as an "anti-woke" alternative.
• The rivalry between OpenAI and XAI is a key front in the larger conflict between Altman and Musk.
• Recently, after Musk announced plans to sue Apple for allegedly promoting OpenAI on the App Store over XAI, Altman accused Musk of manipulating X to "benefit himself and his own companies."

4. Brain-Computer Interface (BCI) Competition: Merge Labs vs. Neuralink

• Altman is backing Merge Labs, a new brain-computer interface startup, which directly competes with Musk's Neuralink.
• Merge Labs is seeking to raise capital at an $850 million valuation.
• Altman is also a small investor in Neuralink, which had a recent valuation of $9 billion. Musk is Neuralink's largest individual shareholder.

5. Social Media Competition: OpenAI vs. X

• OpenAI is developing a social media arm that could become an "X-like social network."
• The Verge reported on these plans in April.
• X has approximately 600 million monthly users (per Statista).
• OpenAI claims ChatGPT has 700 million weekly users.

6. Self-Driving Technology Competition: OpenAI & Applied Intuition vs. Tesla

• Tesla vehicle sales decreased by 13.5% in the second quarter of 2025.
• Musk predicted in May on CNBC that "by the end of next year, we'll have hundreds of thousands, if not over a million Teslas doing self-driving in the US."
• There is little evidence to support Musk's claim, as no Tesla vehicles are currently approved for full self-driving.
• OpenAI partnered with Applied Intuition, a self-driving software maker valued at $15 billion, to "advance next generation AI powered experiences in vehicles worldwide."
• Altman claimed on his brother's podcast, "Uncapped with Jack Altman," that "We have some new technology that could just do self-driving for standard cars way better than any current approach has worked."

7. Space Exploration Competition: Longshot Space vs. SpaceX

• Altman has invested in Longshot Space, which aims to compete with Musk's SpaceX using a "gigantic gun that shoots satellites into orbit."

8. Other Ventures

• Altman is also invested in Glideways, another robocar startup that could potentially compete with Tesla's self-driving robo-taxis.

9. Conclusion

• The rivalry between Sam Altman and Elon Musk extends beyond OpenAI and XAI, encompassing brain-computer interfaces, social media, self-driving technology, and space exploration. Altman is actively investing in and developing technologies that directly challenge Musk's various ventures. The feud, once rooted in shared concerns about AI safety, has evolved into a multifaceted competition across several industries.