This is the full text of a post from "The Obsolete Newsletter," a Substack that I write about the intersection of capitalism, geopolitics, and artificial intelligence. I’m a freelance journalist and the author of a forthcoming book called Obsolete: Power, Profit, and the Race to build Machine Superintelligence. Consider subscribing to stay up to date with my work.
Wow. The Wall Street Journal just reported that, "a consortium of investors led by Elon Musk is offering $97.4 billion to buy the nonprofit that controls OpenAI."
Technically, they can't actually do that, so I'm going to assume that Musk is trying to buy all of the nonprofit's assets, which include governing control over OpenAI's for-profit, as well as all the profits above the company's profit caps.
OpenAI CEO Sam Altman already tweeted, "no thank you but we will buy twitter for $9.74 billion if you want." (Musk, for his part, replied with just the word: "Swindler.")
Even if Altman were willing, it's not clear if this bid could even go through. It can probably best be understood as an attempt to throw a wrench in OpenAI's ongoing plan to restructure fully into a for-profit company. To complete the transition, OpenAI needs to compensate its nonprofit for the fair market value of what it is giving up.
In October, The Information reported that OpenAI was planning to give the nonprofit at least 25 percent of the new company, at the time, worth $37.5 billion. But in late January, the Financial Times reported that the nonprofit might only receive around $30 billion, "but a final price is yet to be determined." That's still a lot of money, but many experts I've spoken with think it drastically undervalues what the nonprofit is giving up.
Musk has sued to block OpenAI's conversion, arguing that he would be irreparably harmed if it went through.
But while Musk's suit seems unlikely to succeed, his latest gambit might significantly drive up the price OpenAI has to pay.
(My guess is that Altman will still ma
Nice article, thanks for linking (and Will for writing).
Unfortunately some people I know thought this section was a little misleading, as they felt it was insinuating that Xrisk from nuclear was over 20% - a figure I think few EAs would endorse. Perhaps it was judged to be a low-cost concession to the prejudices of NYT readers?
Hmm, I don't read it that way. My read of this passage is: the risk of WWIII by 2070 might be as high as somewhat over 20% (but that estimate is probably picked from the higher end of serious estimates), WWIII may or may not lead to all-out nuclear war, all-out nuclear war has some unknown chance of leading to the collapse of civilization, and if that happened then there would also be some further unknown chance of never recovering. So all-in-all, I'd read this as Will thinking that X-risk from nuclear war in the next 50 years was well below 20%.
I also don... (read more)