Dataconomy
  • News
    • Artificial Intelligence
    • Cybersecurity
    • DeFi & Blockchain
    • Finance
    • Gaming
    • Startups
    • Tech
  • Industry
  • Research
  • Resources
    • Articles
    • Guides
    • Case Studies
    • Glossary
    • Whitepapers
  • Newsletter
  • + More
    • Conversations
    • Events
    • About
      • About
      • Contact
      • Imprint
      • Legal & Privacy
      • Partner With Us
Subscribe
No Result
View All Result
  • AI
  • Tech
  • Cybersecurity
  • Finance
  • DeFi & Blockchain
  • Startups
  • Gaming
Dataconomy
  • News
    • Artificial Intelligence
    • Cybersecurity
    • DeFi & Blockchain
    • Finance
    • Gaming
    • Startups
    • Tech
  • Industry
  • Research
  • Resources
    • Articles
    • Guides
    • Case Studies
    • Glossary
    • Whitepapers
  • Newsletter
  • + More
    • Conversations
    • Events
    • About
      • About
      • Contact
      • Imprint
      • Legal & Privacy
      • Partner With Us
Subscribe
No Result
View All Result
Dataconomy
No Result
View All Result

Musk is once again after OpenAI

Elon Musk has reignited his legal battle against OpenAI with a new lawsuit in federal court in Northern California

byEmre Çıtak
August 6, 2024
in News
Home News

Elon Musk X OpenAI lawsuit has once again reignited.

Elon Musk has reignited his legal battle against OpenAI, filing a new lawsuit in federal court in Northern California.

The Elon Musk X OpenAI lawsuit targets the company, CEO Sam Altman, and co-founder Gregory Brockman, following a previously dropped suit in June.

Stay Ahead of the Curve!

Don't miss out on the latest insights, trends, and analysis in the world of data, technology, and startups. Subscribe to our newsletter and get exclusive content delivered straight to your inbox.

Core allegations of Elon Musk X OpenAI lawsuit

The Elon Musk X OpenAI lawsuit claims that the company has abandoned its original nonprofit mission by reserving advanced AI technology for private customers. Musk’s legal team argues this shift betrays the company’s founding principles and Musk’s vision for open-source AI development.

This latest Elon Musk OpenAI lawsuit goes further than the previous one, including accusations of racketeering activity. It alleges that OpenAI’s partnership with Microsoft has fundamentally altered the company’s trajectory, creating a “web of for-profit OpenAI affiliates” that systematically drained the nonprofit’s valuable resources.

Elon Musk OpenAI lawsuit
Musk’s legal team claims OpenAI has abandoned its original nonprofit mission by reserving advanced AI technology for private customers (Image credit)

OpenAI’s previous response

In response to Musk’s original lawsuit, OpenAI dismissed the claims as “incoherent” and “frivolous.” The company published emails from Musk that appeared to show his acknowledgment of the need for substantial funding to support OpenAI’s ambitious AI projects, seemingly contradicting his lawsuit’s claims about the pursuit of profit.

Musk’s lawsuit is not the only challenge facing OpenAI. The company is under investigation by the Federal Trade Commission for potential consumer protection law violations, as WSJ reports. The Securities and Exchange Commission has also reportedly probed whether OpenAI misled investors.

Additionally, several high-profile safety leaders including Ilya Sutskever have left the company, citing concerns about the prioritization of rapid product rollouts over safety considerations.

Elon Musk sues OpenAI once again

The new lawsuit seeks significant remedies, including:

  1. A constructive trust on OpenAI’s “ill-gotten gains, property, and assets” traceable to Musk’s contributions
  2. A judicial determination that OpenAI’s license to Microsoft is null and void

These demands reflect Musk’s assertion that OpenAI’s current direction contradicts its original mission and his intentions as a co-founder.

How much of OpenAI does Elon Musk own?

Well, Elon Musk no longer owns any part of OpenAI.

He left the company’s board in 2018 and has not been directly involved in its operations since then. Musk’s lawsuit is not based on current ownership but on his role as a co-founder and his contributions to the company’s early development.

This legal conflict between Musk and OpenAI represents more than a dispute between a former founder and his company. It touches on fundamental questions about the development and control of artificial intelligence:

  1. The balance between open-source development and proprietary technology
  2. The role of profit in advancing AI research and capabilities
  3. The ethical considerations in AI development and deployment
  4. The potential consequences of concentrated control over advanced AI systems

As this legal battle unfolds, it will likely continue to spark debates about the future direction of AI development and the responsibilities of those at the forefront of this transformative technology.

The outcome could have far-reaching implications for the AI industry, potentially influencing how companies approach the balance between innovation, profit, and ethical considerations in AI development.

Elon Musk OpenAI lawsuit
Musk’s new lawsuit seeks significant remedies, including a constructive trust on OpenAI’s gains and a judicial determination that OpenAI’s license to Microsoft is null and void (Image credit)

Let’s be real

The timing of this Elon Musk OpenAI lawsuit has raised eyebrows in the tech community.

Isn’t it such a coincidence that all this noise coincides with the upcoming release date of Grok 2, the next iteration of AI from Musk’s own company, xAI?

This lawsuit comes amid significant controversy surrounding X’s AI search assistant, Grok, and its role in spreading false information about ballot deadlines during a critical election year. Following President Joe Biden’s withdrawal from his presidential candidacy on July 21, 2024, Grok inaccurately claimed that the ballot deadline had passed in nine states, which was not true, according to the State of Minnesota’s letter to Musk.

Despite a disclaimer advising users to verify information, this misinformation was widely shared and only corrected after more than a week.

Given these circumstances, the legal battle touches on important issues in AI development and ethics. It’s worth considering the potential strategic implications. The high-profile nature of the Elon Musk OpenAI lawsuit could serve to draw attention away from OpenAI’s products and towards Musk’s own AI ventures. It might also be seen as an attempt to cast doubt on OpenAI’s practices just as Musk’s competing product is set to launch.

However, it’s important to note that the issues raised in the lawsuit are substantive and deserve serious consideration, regardless of timing. The questions about AI development, open-source principles, and the balance between profit and public good are crucial as AI continues to advance day by day.


Featured image credit: Indrajitsingh/Pixabay

Tags: Elon MuskopenAI

Related Posts

Cross-Chain is the new competitive edge: Building secure, interoperable systems in the Web3 era

Cross-Chain is the new competitive edge: Building secure, interoperable systems in the Web3 era

September 30, 2025
Anthropic releases Claude Sonnet 4.5 with advanced coding and agent capabilities

Anthropic releases Claude Sonnet 4.5 with advanced coding and agent capabilities

September 30, 2025
Why Ethereum pricing still matters in an evolving ecosystem

Why Ethereum pricing still matters in an evolving ecosystem

September 30, 2025
Medusa gang offered BBC reporter share of ransom

Medusa gang offered BBC reporter share of ransom

September 29, 2025
CESA: 51% of Japanese game firms use AI in development

CESA: 51% of Japanese game firms use AI in development

September 29, 2025
Canva AI adds 16 languages, supports 31 locales

Canva AI adds 16 languages, supports 31 locales

September 29, 2025

LATEST NEWS

Cross-Chain is the new competitive edge: Building secure, interoperable systems in the Web3 era

Anthropic releases Claude Sonnet 4.5 with advanced coding and agent capabilities

Why Ethereum pricing still matters in an evolving ecosystem

Medusa gang offered BBC reporter share of ransom

CESA: 51% of Japanese game firms use AI in development

Canva AI adds 16 languages, supports 31 locales

Dataconomy

COPYRIGHT © DATACONOMY MEDIA GMBH, ALL RIGHTS RESERVED.

  • About
  • Imprint
  • Contact
  • Legal & Privacy

Follow Us

  • News
    • Artificial Intelligence
    • Cybersecurity
    • DeFi & Blockchain
    • Finance
    • Gaming
    • Startups
    • Tech
  • Industry
  • Research
  • Resources
    • Articles
    • Guides
    • Case Studies
    • Glossary
    • Whitepapers
  • Newsletter
  • + More
    • Conversations
    • Events
    • About
      • About
      • Contact
      • Imprint
      • Legal & Privacy
      • Partner With Us
No Result
View All Result
Subscribe

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Policy.