Sign up to save tools and stay up to date with the latest in AI
bg
bg
1

Elon Musk files for injunction to halt OpenAI's transition to a for-profit | TechCrunch

Nov 30, 2024 - techcrunch.com
Elon Musk's attorneys have filed for a preliminary injunction against OpenAI, its co-founders, and investor Microsoft, alleging anticompetitive behavior. The motion accuses OpenAI, its CEO Sam Altman, President Greg Brockman, Microsoft, LinkedIn co-founder Reid Hoffman, and former OpenAI board member Dee Templeton of discouraging investors from backing OpenAI rivals, benefiting from competitively sensitive information through Microsoft, converting OpenAI’s governance structure to a for-profit, and causing OpenAI to do business with organizations in which any defendant has a financial interest.

Musk's lawsuit, which accuses OpenAI of abandoning its original nonprofit mission, was withdrawn in July and revived later in the summer. The suit alleges that OpenAI is depriving Musk's AI company, xAI, of capital and that Microsoft and OpenAI are illegally sharing proprietary information. The motion also claims that several defendants are engaging in self-dealing that harms marketplace competition. OpenAI has sought to dismiss Musk's lawsuit, calling it baseless.

Key takeaways:

  • Elon Musk's attorneys have filed for a preliminary injunction against OpenAI, several of its co-founders, and Microsoft, accusing them of anticompetitive behavior.
  • The allegations include discouraging investors from backing OpenAI rivals, benefitting from competitively sensitive information through connections with Microsoft, and converting OpenAI’s governance structure to a for-profit.
  • Musk's lawsuit accuses OpenAI of abandoning its original nonprofit mission and alleges that he's been defrauded out of more than $44 million he donated to OpenAI.
  • The motion for an injunction alleges that Microsoft and OpenAI continue to illegally share proprietary information and resources, and that several defendants are engaging in self-dealing that harms marketplace competition.
View Full Article

Comments (0)

Be the first to comment!