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Sam Altman Challenges Elon Musk with $7,434 Crore Brain-Computer Interface Startup Merge Labs
newscrab | August 15, 2025 7:39 AM CST


Sam Altman, renowned CEO of OpenAI best known for ChatGPT, is now making headlines for a new venture in brain-computer interface (BCI) technology. Altman is co-founding a startup named Merge Labs, which is positioned to rival Elon Musk’s Neuralink. Although Merge Labs is still in its early stages, it is already valued at approximately $850 million (around Rs 7,434 crore).

Funding and Leadership

The funding for Merge Labs is expected to come primarily from OpenAI’s ventures arm, with around $250 million being raised for research and development. Alex Blania, head of Tools for Humanity and Altman’s biometric ID project World (known for eye-scanning orbs in the US and UK), is also involved in the project. Sam Altman himself will not be involved in daily operations but will play a strategic co-founder role.

Technology and Market Position

Merge Labs aims to compete directly with Neuralink, the brain-chip company founded by Elon Musk in 2016, which develops implantable chips allowing profoundly paralyzed individuals to control devices through their thoughts. Neuralink is currently conducting human trials and recently raised $600 million at a $9 billion valuation.

Altman’s Merge Labs plans to leverage recent advances in artificial intelligence and neural interface technologies to develop high-bandwidth brain-computer communication systems. The startup’s vision reflects Altman’s long-standing interest in the convergence of human intelligence and machines—a concept he termed "the merge."

Significance of the Rivalry

The development of Merge Labs intensifies the competitive dynamic between Altman and Musk, both leaders shaping the future of human-machine interaction. While Musk continues to advance Neuralink and his AI company xAI, Altman is expanding OpenAI’s influence into the BCI frontier.

Summary
  • Merge Labs is a new brain-computer interface startup co-founded by Sam Altman, valued at $850 million.

  • It is raising $250 million in funding, predominantly from OpenAI’s venture arm.

  • The company is entering the same field as Elon Musk’s Neuralink, pushing human-computer integration boundaries.

  • Altman’s involvement escalates the emerging rivalry with Musk in next-generation neurotechnology.

  • Neuralink, meanwhile, has raised $600 million at a $9 billion valuation and is progressing through human clinical trials.

This bold move signals that the race for revolutionary brain-computer fusion technologies is heating up, promising transformative advances in how people interact with machines and augment human capabilities.


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