Tesla CEO Elon Musk once again sought legal action against OpenAI, urging a US court to block the AI company from becoming a for-profit enterprise. The injunction, filed by lawyers for Musk and his artificial intelligence startup xAI, was reported by *CNBC* on Saturday.
The filing requires OpenAI to not only stop its for-profit diversion, but also stop restricting its investors from funding competing companies, a move that Musk claims hurts his own projects in the highly competitive AI sector.
The legal move marks the latest chapter in a growing rift between Musk and OpenAI, the company he co-founded in 2015 before leaving in 2018. Musk has been an outspoken critic of OpenAI’s direction under CEO Sam Altman, particularly its shift from a non-profit to a “Limited” aims to profit and its current endeavor is to become a for-profit public benefit corporation.
Musk has argued that these changes betray OpenAI’s original mission of making AI research widely available. In March, he filed a lawsuit against the company, accusing it of abandoning its founding principles and prioritizing profit over transparency and cooperation.
OpenAI has emerged as a leading player in the AI space, driven by the success of its ChatGPT technology. However, Musk asserts that the company’s policies, including alleged restrictions on its investors, create an unlevel playing field in a sector where billions of dollars are at risk.
For its part, OpenAI dismissed Musk’s legal actions as a case of “sour grapes” after he left the company. The organization says its transition to a for-profit model is essential to attract the investment needed to boost artificial intelligence research and development.
The outcome of Musk’s order could have major implications for the future of OpenAI and the broader AI industry, as competition continues to intensify.