Hajra Naz
OpenAI has invested in Merge Labs, a brain-computer interface (BCI) startup founded by its own CEO, Sam Altman, adding another layer to Silicon Valley’s increasingly interconnected AI ecosystem.
Merge Labs emerged from stealth on Thursday, positioning itself as a research-focused company working to connect biological and artificial intelligence in ways that expand human capability.
Merge Labs Raises $250M at an $850M Valuation
The company announced an undisclosed seed round, with a source confirming that Merge Labs raised $250 million at an $850 million valuation. OpenAI reportedly wrote the largest single check in the round.
In a statement, Merge Labs said its mission is rooted in the idea that human experience is shaped by billions of active neurons—and that interfacing with those neurons at scale could unlock restored abilities, healthier brain states, deeper human connection, and new creative potential alongside AI.
A Noninvasive Approach to Brain-Computer Interfaces
Unlike many BCI efforts that rely on surgical implants, Merge Labs says it plans to pursue a noninvasive strategy. The company aims to develop new technologies that interact with neurons using molecules rather than electrodes, transmitting information through methods such as ultrasound.
This approach is designed to reduce risk while still enabling deep interaction between human biology and artificial intelligence.
Read More: OpenAI Reportedly Asks Contractors to Upload Real Work From Past Jobs for Training Purposes
Competing Visions: Merge Labs vs. Neuralink
The move places Altman in more direct competition with Elon Musk’s Neuralink, which is also developing brain-computer interfaces. Neuralink’s technology requires invasive surgery, using a robotic system to insert ultra-thin electrode threads into the brain to read neural signals.
Neuralink last raised $650 million in a Series E round in June 2025, valuing the company at $9 billion.
Beyond Medicine: The Vision for Human-AI Enhancement
While BCIs have clear medical applications, Merge Labs appears focused on broader ambitions. Its vision aligns with a long-standing Silicon Valley goal of merging human biology with AI to enable enhanced — or even superhuman—capabilities.
OpenAI echoed this framing in a blog post, calling BCIs an important new frontier that could reshape how people communicate, learn, and interact with technology in a more natural, human-centered way.
A Founding Team Tied to Altman’s Ecosystem
Merge Labs’ founding team reflects Altman’s broader network of companies and collaborators. Alongside Altman, the co-founders include Alex Blania and Sandro Herbig of Tools for Humanity, Tyson Aflalo and Sumner Norman of neural tech startup Forest Neurotech, and Caltech researcher Mikhail Shapiro.
Blania and Herbig said they will continue in their roles at Tools for Humanity. Merge Labs said Forest Neurotech will continue operating independently, while Shapiro plans to keep teaching at Caltech. All co-founders will serve as board members, according to a spokesperson.
OpenAI’s Role in Accelerating Research
As part of the deal, OpenAI will collaborate with Merge Labs on scientific foundation models and other advanced tools to speed up research. OpenAI said AI could help accelerate progress across bioengineering, neuroscience, and device development.
The company also noted that future brain-computer interfaces will benefit from AI systems capable of interpreting intent, adapting to individuals, and operating reliably despite limited or noisy signals.
The Circular Logic of the Investment
If Merge Labs succeeds, its technology could effectively act as a control layer for OpenAI’s software — potentially driving more users toward OpenAI products. That feedback loop highlights the circular nature of the deal: OpenAI’s investment boosts a company owned by its CEO, which in turn could strengthen OpenAI’s market position.
Part of a Bigger Push Into AI Hardware
The investment fits into OpenAI’s broader push beyond software. The company is also working with Jony Ive’s startup io, which OpenAI acquired last year, on a screenless AI device. Recent unconfirmed leaks suggest the product may take the form of an earbud.
OpenAI primarily invests through the OpenAI Startup Fund, which has backed several Altman-connected startups, including Red Queen Bio, Rain AI, and Harvey, and partnered commercially with companies such as Helion Energy and Oklo.
Read More: Google unveils its most advanced AI research agent just hours after OpenAI launches GPT-5.2
Altman’s Longstanding Vision of the “Merge”
Altman has discussed the idea of humans merging with machines for years. In a 2017 blog post, he predicted that some form of human-AI integration could emerge between 2025 and 2075, ranging from direct neural connections to deep reliance on conversational AI.
He has described this merge as humanity’s best-case scenario in a future shaped by superintelligent AI — a future he believes could otherwise place humans at odds with increasingly capable machines.
“The merge has already begun,” Altman wrote. “It’s going to get a lot weirder. We will be the first species to design our own descendants.”
