Tesla CEO Elon Musk has once again sought legal action against OpenAI, urging a US court to block the AI company’s transformation into a for-profit enterprise. The injunction, filed by Musk’s attorneys and his AI startup xAI, was reported by *CNBC* on Saturday.
The filing requests that OpenAI not only halt its for-profit conversion but also cease allegedly restricting its investors from funding competing companies, a move Musk claims disadvantages his own ventures in the highly competitive artificial intelligence sector.
This legal step marks the latest chapter in a growing rift between Musk and OpenAI, a company he co-founded in 2015 before departing in 2018. Musk has been a vocal critic of OpenAI’s direction under CEO Sam Altman, particularly its shift from a non-profit to a “capped” for-profit entity and its current pursuit of becoming a for-profit public benefit corporation.
Musk has argued that these changes betray OpenAI’s original mission of making AI research widely accessible. In March, he filed a lawsuit against the company, accusing it of abandoning its founding principles and prioritizing profit over transparency and collaboration.
OpenAI has emerged as a leading player in artificial intelligence, driven by the success of its ChatGPT technology. Musk, however, contends that the company’s policies, including alleged restrictions on its investors, create an uneven playing field in a sector where billions of dollars are at stake.
For its part, OpenAI has dismissed Musk’s legal actions as a case of “sour grapes” following his departure from the company. The organization argues that its shift to a for-profit model is essential for attracting the investment needed to advance AI research and development.
The outcome of Musk’s injunction could have significant implications for both the future of OpenAI and the broader AI industry, where competition continues to intensify.
