Elon Musk unexpectedly withdraws case against OpenAI

Blog Main Image
June 12, 2024

Elon Musk recently took a surprising step by dropping his legal case against OpenAI and its CEO Sam Altman. The case, which revolved around the accusation that OpenAI had abandoned its original mission, was dropped without giving a reason.

Background of the case

In February this year, Musk filed a lawsuit against OpenAI, the company he co-founded in 2015. He accused OpenAI of deviating from its altruistic goals and focusing on maximizing profits. However, OpenAI stated that Musk himself had previously supported a profit-oriented structure and had even proposed a merger with Tesla.

An unexpected turn

The filing to drop the case came just one day before the court was due to hear OpenAI's request to drop the case. This means that Musk can still reactivate the case later, as the filing asked for the case to be dropped “without prejudice.”

Reactions and consequences

The conflict between Musk and OpenAI escalated earlier this week after Apple announced a partnership with OpenAI. This partnership is intended to improve Siri and other operating systems with OpenAI's ChatGPT chatbot. Musk expressed his displeasure about this on his social media platform X, formerly known as Twitter, and harshly criticized the partnership.

Despite Musk's criticism, investors welcomed the news. Apple's market value rose to a record high of more than $3 trillion.

Musk's own AI ambitions

In July 2023, Musk launched his own AI company, xAI, with the ambition to “understand reality.” In November of that year, xAi introduced Grok, a chatbot with “a bit of humor”, as a competitor to ChatGPT, among others.

It remains to be seen how the situation will develop further and whether Musk will resume his legal fight against OpenAI in the future. For now, Musk's focus appears to be on developing his own AI initiatives.