OpenAI’s Almost-Merger with Anthropic Reveals Leadership Disputes and Governance Issues
- OpenAI's near-merger with Anthropic emerged after Sam Altman's 2023 ousting, with board members pushing a deal led by Anthropic despite Ilya Sutskever's opposition. - Anthropic projects $70B revenue by 2028 via B2B expansion, contrasting OpenAI's $115B+ projected losses through 2029 from infrastructure costs. - Elon Musk's lawsuit accuses Altman of "stealing a non-profit," while OpenAI defends its $130B for-profit restructuring as mission-critical. - Governance flaws revealed include rushed decisions and
During a recent deposition related to Elon Musk’s lawsuit against CEO Sam Altman and OpenAI, cofounder Ilya Sutskever disclosed that OpenAI came close to merging with competitor Anthropic after Altman was briefly removed from his CEO position in late 2023. The 10-hour testimony, part of Musk’s legal dispute over changes at OpenAI, described how board members, including Helen Toner, seriously considered a merger that would have placed Anthropic in charge of OpenAI—a scenario Sutskever called “very unhappy” in
The idea for the merger surfaced just days after Altman’s dismissal, with Anthropic’s leaders, CEO Dario Amodei and president Daniela Amodei, reportedly eager about the collaboration but aware of significant obstacles. Sutskever, who was on the board at the time, was one of the few who opposed the plan, which ultimately fell through due to unresolved issues. “Other board members were much more in favor,” Sutskever noted, singling out Toner as the strongest supporter. The deposition also highlighted governance errors, such as hasty decisions and reliance on unconfirmed information from OpenAI CTO Mira Murati, which Sutskever later acknowledged was “secondhand knowledge” in
At the same time, Anthropic has become a major challenger, forecasting $70 billion in revenue by 2028 thanks to rapid B2B growth and alliances with Microsoft, Salesforce, and consulting firms like Deloitte and Cognizant in
The ongoing legal and business rivalry between Musk and Altman has grown more intense. OpenAI’s transformation into a for-profit public benefit corporation—now valued at $130 billion—has come under fire from Musk, who accused Altman of “stealing a non-profit” in
OpenAI’s outlook is uncertain as it deals with lawsuits, internal changes, and pressure from Anthropic. The company has suggested a possible IPO by 2027 but faces major financial challenges, including an expected annual cash burn of over $14 billion through 2026, according to
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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