Elon Musk has intensified his legal battle against OpenAI, seeking a court injunction to prevent the company’s shift to a for-profit structure.
Musk argues that the move is “illegal” and warns that OpenAI’s dominance in the artificial intelligence market, particularly through its ChatGPT platform, could harm competitors, including his own AI startup, xAI.
In legal filings, Musk accused OpenAI and its CEO, Sam Altman, of abandoning the nonprofit mission they initially established in 2015. He claims that OpenAI’s acceptance of billions in funding from Microsoft in 2019 marked a shift toward profit-driven objectives, diverting from its original goal of advancing AI for the benefit of society.
Musk also alleges that OpenAI has entered into agreements that violate federal antitrust laws, including deals that he claims restrict funding for potential competitors.
In response, OpenAI dismissed Musk’s accusations, labeling them as baseless and reaffirming its commitment to innovation and transparency. The company’s shift toward a for-profit model stems from its 2019 decision to create a capped for-profit subsidiary to address the substantial costs associated with AI development.
Tensions between OpenAI’s nonprofit board and management have long existed, particularly over balancing AI safety concerns with commercial goals.
These tensions became public in 2023 when CEO Sam Altman was briefly ousted, only to be reinstated after a dispute over the company’s commercialization strategy.
