OpenAI formed a for-profit entity, OpenAI LP, in 2019, which transformed the company into a $90 billion valued entity. The company has since developed a strong partnership with Microsoft Corp., which has committed over $13 billion in funding. Musk's lawsuit alleges that this partnership violates OpenAI's founding charter and represents a breach of contract. He is demanding the company pay back the profits earned through OpenAI LP. OpenAI has responded by stating it intends to dismiss all of Musk's claims, insisting it has not diverged from its original mission.
Key takeaways:
- Elon Musk is suing OpenAI, alleging that the company has deviated from its original non-profit mission and is now pursuing profit, contrary to its founding charter.
- OpenAI has responded by publishing redacted emails from Musk, in which he appears to acknowledge the need for the company to generate significant revenue to fund its AI development.
- Musk had previously suggested that Tesla Inc., his electric car company, should buy OpenAI, a proposal that was declined by the company's executives.
- OpenAI has formed a strong partnership with Microsoft Corp., which has committed over $13 billion in funding, and Musk's lawsuit alleges that this partnership violates OpenAI's founding charter.