Meta Poaches the CEO of a $32 Billion AI Startup — After Trying to Buy the Company and Being Told No Meta is reportedly offering up to nine figures in compensation for AI researchers, amounting to $100 million signing bonuses and even higher overall pay.

By Sherin Shibu Edited by Melissa Malamut

Key Takeaways

  • Meta has poached the CEO of AI startup Safe Superintelligence, Daniel Gross.
  • Meta is taking a stake in Gross’s venture capital firm, NFDG.
  • In exchange, Gross and his venture capital partner, Nat Friedman, will join Meta as part of its Superintelligence lab.

Meta is taking an aggressive approach to hiring new members of its Superintelligence lab, the group tasked with developing AI that is more intelligent than human beings.

CNBC reports that earlier this year, Meta attempted to acquire Safe Superintelligence (SSI), a top AI startup valued at $32 billion. OpenAI founding member Ilya Sutskever co-founded SSI in June 2024, one month after leaving his post as chief scientist at OpenAI. The startup aims to take a security-first approach to building superintelligence, or an AI with advanced capabilities.

Sutskever reportedly turned down Meta's offer to buy SSI and refused Meta's offer to hire him, sources told CNBC. Meta then began talks for a possible deal with SSI's CEO, Daniel Gross, and former GitHub CEO Nat Friedman. Gross and Friedman run a venture capital firm together called NFDG, named after the combination of their initials.

Related: Meet Alexandr Wang, the 28-Year-Old Who Went from MIT Dropout to Billionaire Meta Hire: 'I Wanted to Make a Difference'

Now, multiple sources tell CNBC that Meta is taking a stake in NFDG in exchange for Gross and Friedman joining Meta as part of its Superintelligence lab. The size of Meta's investment in NFDG is unclear.

Gross and Friedman will reportedly work on AI products at Meta under another new hire: Scale AI CEO Alexandr Wang. Wang announced last week that he would be leaving Scale AI for Meta as part of a $14.3 billion investment Meta made in the startup.

SSI co-founder Ilya Sutskever. Photo by JACK GUEZ / AFP

The new hires will reportedly be compensated well. According to a Bloomberg report last week, Meta is offering up to a nine-figure pay for researchers on its Superintelligence team. OpenAI CEO Sam Altman confirmed this week that Meta tried to recruit OpenAI researchers by offering $100 million signing bonuses and even higher compensation packages as leverage.

According to Bloomberg, Meta CEO Mark Zuckerberg has been personally leading the recruitment effort for the Superintelligence team. He has invited leading AI researchers and engineers from other companies to meet with him at his homes in Palo Alto and Lake Tahoe to talk about offers to join Meta. Zuckerberg's aim is for Meta to be the first company to achieve superintelligence, which it can then use to power its products, like its AI chatbot and AI smart glasses.

Related: Meta Is Reportedly Planning to Release New AI Smart Glasses With Oakley and Prada

Meta's move to bring on fresh talent like Wang, Gross, and Friedman arrives as the company tries to hold onto existing AI talent. Menlo Ventures venture capitalist Deedy Das posted on X last week that he had heard of three cases last week of Meta losing AI researchers to OpenAI and Anthropic despite offering compensation of $2 million or more.

"The AI talent wars are absolutely ridiculous," Das wrote.

Meta stock was up 15% year-to-date at the time of writing.

Sherin Shibu

Entrepreneur Staff

News Reporter

Sherin Shibu is a business news reporter at Entrepreneur.com. She previously worked for PCMag, Business Insider, The Messenger, and ZDNET as a reporter and copyeditor. Her areas of coverage encompass tech, business, strategy, finance, and even space. She is a Columbia University graduate.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Leadership

Lead From the Top: 5 Core Responsibilities of a CEO

Knowing exactly what the chief executive's role entails is critical for steering a company to success.

Side Hustle

This 29-Year-Old's Side Hustle Brought People 'to the Dark Green Side.' It Made $10,000 Within 2 Days and Sees 6 Figures a Month.

Nikki Seaman began work on her business when the pandemic led to grocery store shutdowns.

Business News

Here's How the CEO of the Biggest Bank in the U.S. Spends His Downtime: 'This Gives Me Purpose in Life'

JPMorgan CEO Jamie Dimon, 69, recently said that his top three priorities are his family, his country, and his purpose, which is working at the bank — in that order.

Side Hustle

How to Build Endless Passive Income With This Simple Online Hustle

Autopilot stores aren't just income streams. They are passports to freedom, flexibility and finally working and living on your own terms.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2025.

Business News

Robinhood Is Writing More Code with AI than Google or Microsoft

Robinhood co-founder and CEO, Vlad Tenev, says almost all engineers at the company have adopted AI coding tools.