Dogecoin Proponent Elon Musk Sues OpenAI Co-Founder and CEO Over Contract Violation

Prominent American businessman Elon Musk has sued OpenAI and its execs over an alleged breach of contract.

Elon Musk, a major Dogecoin supporter and owner of social media platform X, has sued famous artificial intelligence company OpenAI and its CEO Sam Altman, among others, over an alleged breach of contract.

Background of the Case

According to a motion filed in a San Francisco court yesterday, Musk’s lawyers claimed that OpenAI and its execs had abandoned the company’s original mission, which was mainly to develop artificial intelligence technologies for humanity and not-for-profit purposes.

Musk’s lawyers briefly explained the intention behind the creation of OpenAI. Notably, Musk, who co-founded OpenAI, had an initial agreement with Altman and the company’s co-founder Greg Brockman in 2015.

The agreement required the parties to establish a nonprofit lab to develop open-source AI solutions focused on benefiting humanity. However, Musk claims OpenAI and its execs have deviated from the original mission and are now in pursuit of profit.

Lawyers for Musk emphasized that OpenAI’s focus on making huge returns for Microsoft breached the initial agreement.

Musk’s Role in OpenAI

It bears mentioning that besides co-founding OpenAI, Musk also sat on the company’s board for several years. The American entrepreneur stepped down from OpenAI’s board in 2018 to focus on his other businesses, including Tesla and SpaceX.

Musk also acquired X for $44 billion in 2022 while he continues voicing his support for Dogecoin.

OpenAI Rise to Fame and Subsequent Troubles

Despite launching in December 2015, OpenAI gained immense popularity years later following the rollout of ChatGPT in 2022. In just six months, OpenAI’s ChatGPT became the fastest-growing software globally, with many people adopting the solution for various purposes.

ChatGPT’s success within a short period sparked the launch of other rival chatbots from top tech giants like Alphabet.

Recall that OpenAI’s shifting mission was spotlighted last year after the firm’s board fired Altman in November. Explaining the reason behind the surprised ouster, the board said it was defending the company’s mission of developing AI solutions for humanity.

Interestingly, Altman returned a few days after some OpenAI employees threatened to leave the company for Microsoft if he was not reinstated.

According to The Washington Post, OpenAI plans to appoint new board members this month, which could end the impasse following Altman’s Altman’s ouster in November. Notably, the board has been searching for six members with tech-related experience.

In the meantime, the SEC is investigating OpenAI, including scrutinizing Altman’s internal communication, to determine whether the tech company misled investors.

Source