Sam Altman In Talks to Co-Found Brain Chip Startup Competing With Neuralink

Altman would be named co-founder alongside Alex Bania, the co-founder and chief executive of World, an eye-scanning ID verification company that Altman is also associated with.

OpenAI chief executive Sam Altman is in discussions to invest in and co-found Merge Labs, a brain chip interface startup aimed at competing with Elon Musk’s Neuralink.

As per reports, the funding is expected to come primarily from OpenAI’s ventures team.

Altman would be named co-founder alongside Alex Bania, the co-founder and chief executive of World, an eye-scanning ID verification company that Altman is also associated with.

Merge Labs is projected to be valued at $850 million after the fundraising round.

Brain-Tech Rivalry Brews

Last month, Neuralink secured $650 million in fresh funding, taking its valuation to around $9 billion. The company, after years of development, began human trials last year and gained approval from the U.S. Food and Drug Administration.

Neuralink has said five people with severe paralysis are now using its device to perform tasks through thought-controlled commands.

Altman and Musk have been at odds in recent months. Musk has sued over OpenAI’s shift toward a for-profit model, while Altman recently accused Musk of manipulating X to benefit himself and “harm competition.” Musk dismissed the accusation, calling it false.

Founded in 2025, Merge Labs is a neurotechnology startup, backed by significant funding including $250 million from OpenAI’s venture arm, the startup aims to revolutionize the field of brain-computer interfaces (BCIs).

Unlike traditional BCI ventures focused solely on medical rehabilitation, Merge Labs is driven by a broader vision that is to create neural implants that enable seamless interaction between human cognition and artificial intelligence.

Merge Labs works at the intersection of neuroscience and AI, developing less invasive brain implants designed to augment, not just restore, human capabilities.

The company’s mission reflects Altman’s long-standing fascination with “the merge,” a concept where humans evolve by integrating with machines. 

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