Elon Musk Escalates AI Battle: Sues OpenAI and Microsoft for Alleged Monopoly
Elon Musk Expands Lawsuit Against OpenAI, Adds Microsoft as Defendant
In a significant development, Elon Musk has updated his lawsuit against artificial intelligence company OpenAI to include antitrust claims, with tech giant Microsoft now added as a defendant. The amended complaint, filed recently, accuses the defendants of attempting to monopolize the rapidly growing generative AI market.
The expanded lawsuit now names Microsoft, LinkedIn co-founder Reid Hoffman, and Microsoft VP Dee Templeton as defendants alongside OpenAI. Musk’s legal team alleges self-dealing by former OpenAI CEO Sam Altman and claims a “de facto merger” between OpenAI and Microsoft to promote anticompetitive practices.
Central to the antitrust claims are accusations that OpenAI and Microsoft have been working to eliminate competitors in the AI space. The lawsuit alleges the exchange of competitively sensitive information and efforts to discourage investors from funding rival companies, including Musk’s own AI venture, xAI.
The legal action comes amid intense competition in the AI market. OpenAI recently secured $6.6 billion in funding for AI model development, while xAI raised $6 billion in March for future technologies.
Musk’s company xAI has been added as a new plaintiff in the case, along with Shivon Zilis, a former OpenAI board member and current Neuralink executive.
This latest legal move builds on Musk’s previous lawsuit filed in March, which accused OpenAI of abandoning its founding principles. Musk, who co-founded OpenAI in 2015 but left in 2018, claims the company has become a “closed-source de facto subsidiary” of Microsoft.
OpenAI has sought to dismiss the complaint, describing it as a “PR stunt.” The company and Microsoft have been contacted for comment on the latest amendments to the lawsuit.
The case has potential political implications, as Musk has promised an advisory role in President-elect Donald Trump’s administration, potentially influencing AI policy.
As this legal battle unfolds, it continues to spotlight the intense competition and high stakes in the rapidly evolving field of artificial intelligence.
