Elon Musk expands lawsuit against OpenAI and Microsoft

Elon Musk broadened his federal lawsuit against OpenAI on Friday, accusing the artificial intelligence company and its primary backer, Microsoft, of conspiring to violate antitrust laws. The latest complaint claims OpenAI has strayed from its nonprofit origins in favor of profit-driven ventures that benefit Microsoft.

The amended suit, initially filed in February, now includes Microsoft and board member Reid Hoffman as defendants. It alleges that OpenAI CEO Sam Altman worked with Microsoft to transform the organization into a for-profit entity, leveraging its ties to the tech giant. Musk’s legal team argues that these changes have fundamentally compromised OpenAI’s mission to benefit humanity.

Musk, who co-founded OpenAI in 2015 before parting ways with the organization, has been vocal about his concerns over its direction. His lawyer, Marc Toberoff, emphasized the broader stakes of the lawsuit, stating that “how AI is addressed today will reverberate for decades to come.”

The conflict dates back to February when Musk first sued OpenAI, claiming it had failed to honor its nonprofit commitments. The company responded by releasing emails suggesting Musk had attempted to take control of OpenAI and merge it with his electric vehicle company, Tesla. Musk later dropped the initial lawsuit but refiled it in August, bringing federal antitrust allegations into focus.

The updated complaint accuses Microsoft of playing a pivotal role in reshaping OpenAI’s structure, citing its multibillion-dollar investment in the company. It also highlights changes to OpenAI’s board following Altman’s reinstatement last year, alleging the leadership shift prioritized profits at the expense of safety.

OpenAI has denied the allegations, calling Musk’s claims “baseless and overreaching.” The company has asked the court to dismiss the lawsuit. Microsoft declined to comment on the legal developments, while Reid Hoffman did not respond to requests for a statement.

The case has drawn attention from regulators as the Federal Trade Commission investigates Microsoft’s investment in OpenAI as part of its broader inquiry into Big Tech’s growing influence over AI innovation.