Sam Altman and OpenAI to invest $250 million in brain-computer interface company Merge Labs

B.news
13 Aug 2025 10:08:14 AM
Sam Altman and OpenAI will invest $250 million to support brain-computer interface startup Merge Labs to compete with Musk's Neuralink.
Sam Altman and OpenAI to invest $250 million in brain-computer interface company Merge Labs

Sam Altman and OpenAI will invest $250 million in brain-computer interface startup Merge Labs to compete with Elon Musk's Neuralink. According to the Financial Times, OpenAI and its co-founder Sam Altman are preparing to invest in a startup called Merge Labs, which aims to connect the human brain to computers, similar to Elon Musk's Neuralink.

This move will undoubtedly intensify the competition between the two billionaire entrepreneurs. The Financial Times said it was unable to obtain comment from OpenAI on the matter, and Musk commented on the matter: ... ;

Specifically, the media outlet has learned from three people familiar with the matter that Merge Labs is currently raising new funds at a valuation of $850 million, with the majority of the new funds expected to come from OpenAI's venture capital team.

Two people familiar with the matter said Altman is encouraging the investment and will help launch the project alongside Alex Blania. Alex Blania currently leads World, an eye-scanning digital ID project also backed by Altman.

They added that Altman will also become a co-founder of the company, but will not be involved in the day-to-day operations of the new venture. In addition to vying for the future of brain-computer interfaces with Elon Musk's Neuralink, Sam Altman recently engaged Musk in a battle over AI at X. The incident began when Musk accused Apple of monopolistic practices by favoring OpenAI in its App Store. Musk also threatened legal action.

(However, context added by netizens suggests Musk's claims are untrue.) Altman then retweeted the post, claiming that Musk manipulated X to profit for himself and his company while harming competitors and those he disliked.

The verbal battle escalated, with Musk calling Altman a liar and citing pageviews as evidence that X wasn't intentionally restricting traffic for its competitors. Altman retorted, demanding Musk sign an affidavit proving his innocence.

What are your thoughts on OpenAI’s potential investment in Merge Labs and this recent drama?