Quick Takes: Sam Altman’s Merge Labs Aims to Rival Elon Musk’s Neuralink

Sam Altman is co-founding a brain-to-computer interface startup called Merge Labs in a move that could set up a direct rivalry with Elon Musk’s Neuralink.

Merge Labs is reportedly in early fundraising talks for a valuation of around $850 million, with potential backing from OpenAI’s ventures team. Sources say discussions are still in the early stages and OpenAI has not yet committed, meaning terms could change.

The new company will collaborate with Alex Blania, head of Tools for Humanity, formerly known as World — a project created by Altman to verify a person’s “humanness” using eye-scanning technology.

Merge Labs is entering the same competitive space as Neuralink, which Musk founded in 2016 and publicly unveiled in 2017. Neuralink is developing implantable brain chips designed to let people with severe paralysis control devices with their thoughts.

Neuralink is currently running human trials and recently raised $600 million in a Series E round, putting its valuation at $9 billion.

The concept behind both companies aligns with a broader tech vision of “the singularity” — the point at which humans and technology merge. Musk has referenced the term in the context of AI surpassing human intelligence, while Altman has long expressed interest in human-technology integration.

In a 2017 blog post, Altman wrote that “the merge has already begun” and predicted a future in which humans design their own descendants. His new venture suggests he is ready to pursue that vision on a larger scale.

Altman and Musk’s relationship has soured since Musk left OpenAI in 2018. The two have traded public barbs, including a recent exchange on X where Musk accused Altman of lying.

Whether Merge Labs moves forward will depend on funding and formal announcements. For now, it is clear Altman is not content to let Musk dominate a field he considers central to humanity’s future.