Musk had previously filed a complaint alleging that OpenAI and its CEO Sam Altman violated the company's founding principles by prioritizing profits over benefiting humanity and by establishing close ties with Microsoft. He also accused Altman of pushing the company into a de facto merger with Microsoft. OpenAI has dismissed these claims. Meanwhile, Musk's company xAI recently raised $5 billion in a funding round, bringing its total funding for the year to $11 billion and valuing the company at $50 billion.
Key takeaways:
- Elon Musk and his AI startup xAI have filed for a preliminary injunction to halt OpenAI's transformation to a for-profit company and prevent it from blocking its investors from funding its rivals.
- Musk's attorneys argue that OpenAI should be blocked from benefitting from wrongfully obtained competitively sensitive information or coordination via the Microsoft-OpenAI board interlocks.
- Musk has accused OpenAI and CEO Sam Altman of violating the company’s founding principles by emphasizing profits over benefiting humanity, and by establishing close ties to Microsoft.
- xAI recently raised $5 billion in a funding round, valuing the company at $50 billion, and plans to use the new financing to add another 100,000 Nvidia chips for training its AI models.