Elon Musk revives OpenAI legal battle with fresh allegations
Elon Musk’s revived lawsuit against OpenAI includes fresh allegations against the company and two of its founders, Sam Altman and Greg Brockman. This new legal salvo comes after Musk withdrew a previous lawsuit in June.
The earlier suit had primarily focused on claims that OpenAI had breached its founding agreement to keep the company’s technology open source. The fresh complaint, however, takes a more aggressive stance.
Musk’s legal team alleges that Altman and Brockman “assiduously manipulated Musk into co-founding their spurious non-profit venture” by making promises about OpenAI’s safety and transparency that set it apart from profit-driven alternatives. The lawsuit goes so far as to claim that assurances about OpenAI’s nonprofit structure were “the hook for Altman’s long con.”
Marc Toberoff, Musk’s lawyer, told The New York Times, “This is a much more forceful lawsuit.” Indeed, the new suit ups the ante by accusing OpenAI of breaching federal racketeering laws in what it describes as a conspiracy to defraud Musk.
The complaint paints a picture of extensive deception, alleging that Altman and OpenAI lured Musk into co-founding the organisation under false pretences of AI safety and openness. Musk claims he invested significant resources and recruited top scientists based on these assurances, only to see the company pivot towards a profit-making model that compromised its original mission.
The lawsuit details allegations of self-dealing and conflicts of interest by Altman, which Musk argues led to their falling out and ultimately compromised OpenAI’s founding principles. Reports of withheld technology and a compromised Board of Directors have raised serious ethical concerns about the company’s operations and future direction.
Furthermore, the lawsuit takes aim at OpenAI’s partnership with Microsoft. It claims that the contract between the two tech giants includes a clause that would revoke Microsoft’s rights to OpenAI’s technology once artificial general intelligence (AGI) is achieved. This allegation, if proven true, could have far-reaching implications for the future of AI development and corporate partnerships in the tech industry.
The legal action seeks not only damages and restitution but also punitive measures against the defendants for allegedly exploiting Musk’s contributions. The tech billionaire is pushing for Altman to be divested of what the lawsuit describes as “ill-gotten gains” resulting from the alleged deception.
Musk’s complaint goes beyond mere contractual disputes, invoking serious legal charges including fraud, breach of contract, wire fraud, and violations of RICO (Racketeer Influenced and Corrupt Organizations) law against Altman, Brockman, and OpenAI.
The revival of Musk’s legal battle against OpenAI comes at a time of increasing scrutiny of AI technologies and their potential impact on society. As one of the original co-founders of OpenAI, Musk’s allegations carry significant weight and could potentially reshape the narrative around the company’s evolution from a non-profit to a for-profit entity.
However, it’s worth noting that OpenAI has consistently maintained that its transition to a “capped-profit” model was necessary to secure the funding required for its ambitious AI research and development goals. The company has also emphasised its commitment to developing AI in a responsible and beneficial manner.
The tech community and legal experts will be watching closely as this case progresses, given its potential to set precedents for how AI companies are held accountable to their stated missions and founding principles.
(Photo by Jonathan Kemper)
See also: Meta’s AI strategy: Building for tomorrow, not immediate profits
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