Elon Musk reignites lawsuit against OpenAI over betrayal

Elon Musk reignited a legal battle against OpenAI on Monday, accusing co-founders Sam Altman and Greg Brockman of betraying the artificial intelligence company’s founding mission.

The lawsuit, filed in a federal court in California, describes the case against the ChatGPT maker OpenAI as “a textbook tale of altruism versus greed.”

“The perfidy and deceit are of Shakespearean proportions,” the complaint alleges.

The legal action comes nearly two months after Musk abruptly withdrew a similar suit against OpenAI, Altman, and Brockman. Musk, who departed from OpenAI in 2018, accuses the defendants in the latest complaint of fraud, conspiracy, and false advertising.

Musk claims he initially invested in OpenAI in 2015 under the belief it would remain a non-profit organization. According to the suit, Altman “manipulated and deceived” Musk, eventually collaborating with software giant Microsoft.

“Altman assured Musk that the non-profit structure guaranteed neutrality and a focus on safety and openness for the benefit of humanity, not shareholder value,” the suit states. “But as it turns out, this was all hot-air philanthropy—the hook for Altman’s long con.”

The complaint further asserts that the resulting OpenAI network, in which Altman and Microsoft hold significant interests, was recently valued at $100 billion.

“As a result of their unlawful actions, Defendants have been unjustly enriched to the tune of billions of dollars in value, while Musk, who co-founded their de-facto for-profit start-up, has been conned along with the public,” the lawsuit claims.

OpenAI captured widespread attention in late 2022 with the release of ChatGPT, a language model capable of generating poems, essays, and even passing exams. The company has also developed advanced image and video generation tools, positioning itself as a leader in the field.

Microsoft, a major investor in OpenAI since 2019, invested billions more into the firm last year. The software giant also intervened when OpenAI’s board fired CEO Altman in November, hiring him and offering to house any staff members dissatisfied with his ousting.

Following significant internal dissent, the OpenAI board reinstated Altman and replaced several board members.

Since parting ways with OpenAI, Musk has voiced concerns that artificial intelligence could pose existential risks to humanity. He launched his own AI firm, xAI, last year.