OpenAI Cofounder Sam Altman Launches Brain-Computer Interface Startup to Compete with Neuralink

Sam Altman, cofounder of OpenAI, is entering the brain-computer interface race with a new startup called Merge Labs, which aims to directly compete with Elon Musk’s Neuralink. The venture, valued at $850 million, is raising $250 million in funding, with significant backing expected from OpenAI’s ventures team. Altman will cofound the company but will not be involved in its day-to-day operations. Merge Labs is one of several emerging companies leveraging recent advancements in artificial intelligence to develop high-bandwidth brain-computer interfaces. The name "Merge" reflects the vision of a future "merge" between humans and machines, a concept Altman explored in a 2017 blog post, predicting its arrival by 2025. He recently reiterated the potential for significant progress in this field. Neuralink, founded by Musk in 2016, remains a key player in this space, having raised $650 million at a $9 billion valuation. The rivalry between Altman and Musk dates back to their co-founding of OpenAI, with tensions escalating after Musk left the board in 2018. Musk has since launched his own AI ventures, including xAI, and has sought to challenge OpenAI’s nonprofit status in court. The brain-computer interface sector is growing rapidly, with companies like Precision Neuroscience and Synchron also making strides. While brain implants are not new, advancements in AI and electronic components are driving their practical application. Altman’s investment in Merge Labs highlights his continued interest in cutting-edge technologies, alongside his support for other ventures in adjacent fields. OpenAI declined to comment on the development.
Published: 8/13/2025