Musk slaps OpenAI with 4th lawsuit

Elon Musk has filed another lawsuit against OpenAI, marking his fourth attempt to bring the tech giant down.

This time, Musk wants the courts to stop OpenAI from transitioning from a non-profit to a for-profit entity—a move that OpenAI announced back in September, to appease inventors after a huge funding round—claiming it’s a violation of antitrust law.

The lawsuit accuses OpenAI of violating Musk’s “foundational contributions to the charity” and building "exclusive arrangements" with Microsoft, to achieve market dominance, while also “wrongfully obtaining competitively sensitive information” from its partnership.

It states that CEO, Sam Altman, is engaging in "rampant self-dealing" through contracts between OpenAI and companies like Stripe, Reddit, and Helion Energy, all of which he has invested financial interest in.

It also argues that OpenAI has stopped its investors from funding other AI companies (namely his own start-up, xAI) by verifying that “at least one major investor” that had previously contributed to an xAI funding round, has since “declined to invest in xAI.”

Meanwhile, OpenAI has issued a scathing response to the lawsuit: "Elon’s fourth attempt, which again recycles the same baseless complaints, continues to be utterly without merit."