Elon Musk challenges OpenAI’s change to for-profit entity

Elon Musk challenges OpenAI’s change to for-profit entity


AFP | | Posted by Aditi Srivastava

Dec 01, 2024 11:46 AM IST

Elon Musk has filed an injunction to stop OpenAI from changing into a for-profit entity, claiming it restricts investor funding for competing companies.

Elon Musk has once more requested a US court docket to cease ChatGPT-maker OpenAI from changing right into a for-profit enterprise, CNBC reported Saturday.

Elon Musk, chief govt officer of SpaceX and Tesla and proprietor of X. (Reuters Photo)

Attorneys representing the billionaire and his AI startup, xAI, filed the injunction Friday, the monetary information web site reported.

The injunction additionally requests that OpenAI be stopped from allegedly barring its traders from funding competing firms.

The transfer is the most recent improvement in a enterprise feud between OpenAI and Musk, who co-founded the group in 2015 however has since left.

OpenAI has seen its profile skyrocket over current years because it has develop into a star participant within the rising subject of synthetic intelligence.

Musk has alleged that OpenAI bars its traders from making investments in rivals — which might put his personal startup at a drawback in a sector the place billions of {dollars} are at stake.

OpenAI was based as a non-profit and has since switched to a “capped” for-profit enterprise.

It is presently in search of to develop into a for-profit public profit company, which might entice extra funding.

After leaving in 2018, Musk mentioned he was uncomfortable with the profit-driven route the corporate was taking underneath the stewardship of CEO Sam Altman.

He filed a lawsuit in opposition to the corporate in March, accusing it of breaking its unique non-profit mission to make AI analysis obtainable to all.

OpenAI argues that Musk’s lawsuit, in addition to his embrace of open supply improvement for AI, is little greater than a case of bitter grapes after leaving the corporate.

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