Sam Altman’s Merge Labs Receives Backing From OpenAI

The move furthers the rift between fellow OpenAI co-founders Sam Altman and Elon Musk.

Written by Ashley Bowden
Published on Jan. 16, 2026
Person with telepathy.
Photo: Shutterstock
REVIEWED BY
Rose Velazquez | Jan 16, 2026

The latest company of interest to OpenAI is Merge Labs, a startup initiated by Sam Altman and focused on developing a brain-computer interface. OpenAI’s circular investment in Merge Labs furthers Altman’s competition with fellow OpenAI co-founder Elon Musk. The latter’s company, Neuralink, aims to leverage computer chips to enable people to control devices with their minds.

Merge Labs is researching how to connect biological intelligence and AI to maximize human ability. The company claims its work will leverage noninvasive technology that connects with neurons using molecules instead of electrodes. Its launch from stealth on Thursday was punctuated by a $250 million seed raise, in which OpenAI reportedly cut the largest check among Merge Labs’ investors, a TechCrunch article mentioned.

“AI will play a central role to Merge’s approach. It will accelerate research and development including bioengineering, neuroscience and device engineering,” OpenAI shared in a company blog post. “In addition, high-bandwidth interfaces will benefit from AI operating systems that can interpret intent, adapt to individuals, and operate reliably with limited and noisy signals. OpenAI will collaborate with Merge Labs on scientific foundation models and other frontier tools to accelerate progress.”

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