OpenAI Leads $252M Investment in Merge Labs' BCI Technology
OpenAI leads a $252M investment in Merge Labs, a BCI startup co-founded by Sam Altman, focusing on non-invasive technology.
OpenAI Leads $252M Investment in Merge Labs' BCI Technology
OpenAI has taken a significant step in the brain-computer interface (BCI) sector by leading a $252 million seed round for Merge Labs, a startup co-founded by OpenAI CEO Sam Altman. This investment values Merge Labs at $850 million as of January 15, 2026 (Hypebeast).
Investment Details
- Lead Investor: OpenAI
- Other Participants: Bain Capital, Gabe Newell (Valve co-founder)
- Valuation: $850 million
The funding will support Merge Labs in developing non-invasive, high-bandwidth BCIs that integrate biology, advanced devices, and AI, directly competing with firms like Neuralink (TechCrunch).
Technology and Approach
Merge Labs is focusing on ultrasound-based technology to achieve safer, higher-resolution neural interactions without the need for invasive surgery. This approach contrasts with traditional BCIs that rely on electrode implants (OpenAI).
- Mission: Bridging biological and artificial intelligence
- Technology: Ultrasound for non-invasive neural interaction
- Initial Applications: Medical, with plans to expand to consumer products
Founders and Expertise
The scientific team includes:
- Mikhail Shapiro: Caltech professor known for ultrasound tools
- Tyson Aflalo: University of Pittsburgh, BCI studies
- Sumner Norman: Caltech, brain-controlled prosthetics
These founders bring a blend of academic and startup experience, complemented by tech entrepreneurs Alex Blania and Sandro Herbig (The Decoder).
Competitor Comparison
| Company | Approach | Invasiveness | Funding/Valuation (as of Jan 2026) |
|---|---|---|---|
| Merge Labs | Ultrasound + AI/biology | Non-invasive | $252M seed / $850M valuation |
| Neuralink | Electrode implants | Highly invasive | ~$700M total / $5B+ valuation |
| Synchron | Stent-based electrodes | Minimally invasive | $145M+ / $1B unicorn |
Merge Labs differentiates itself through non-invasiveness and AI integration, positioning against Neuralink's surgical risks (The Decoder).
Strategic Context
OpenAI's investment aligns with its hardware ambitions amid AI-interface competition. BCIs are seen as the "next frontier" for AI interaction, enabling thought-level control (The Register).
Governance and Ethical Concerns
Critics have raised concerns about potential conflicts of interest, as Altman co-founded Merge Labs while leading OpenAI. This could funnel resources to Altman's personal stake, raising governance issues (TechCrunch).
Implications for AI and Human Augmentation
This investment marks a shift towards integrating AI with hardware, potentially democratizing superhuman cognition through non-invasive BCIs. However, it also amplifies critiques of Altman's influence and the ethical implications of BCIs (OpenAI).
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