OpenAI has formally requested authorities in California and Delaware to examine what it describes as improper and anti-competitive conduct by Elon Musk and individuals linked to him.
The dispute is rooted in broader disagreements over the company's direction and structure. Musk, who co-founded OpenAI in 2015 alongside Sam Altman, exited the organisation in 2018. He later established a competing AI venture, xAI, which created the chatbot Grok. In 2024, Musk initiated legal action against OpenAI, challenging its transition toward a for-profit model and alleging a departure from its original principles.
Request for regulatory review
In its recent communication, OpenAI urged the attorneys general of California and Delaware to assess what it considers coordinated efforts aimed at disrupting its operations. The company stated that Musk's actions, along with those of his associates, could amount to behaviour that restricts fair competition.
OpenAI has urged regulators in California and Delaware to investigate Elon Musk over alleged anti-competitive actions The request was addressed to California Attorney General Rob Bonta and Delaware Attorney General Kathy Jennings. OpenAI's chief strategy officer, Jason Kwon, indicated that the situation may interfere with the organisation's ongoing restructuring process. Legal claims and financial stakes
OpenAI's filing highlights concerns over the scale and implications of Musk's lawsuit. The company noted that the case seeks damages exceeding $100 billion and argued that such claims could negatively affect its nonprofit arm.According to OpenAI, the legal action poses risks to its broader mission, particularly its goal of ensuring that artificial general intelligence (AGI) benefits humanity. The company also stated that the dispute could slow its progress in developing AGI, a form of AI intended to match or surpass human intelligence.
Allegations of broader involvement
The company's communication also referenced earlier claims suggesting that Musk attempted to involve Mark Zuckerberg in a potential takeover effort related to OpenAI, though no participation from Zuckerberg occurred.Additionally, OpenAI cited previous warnings shared with its investors, in which it anticipated that Musk might issue provocative or misleading public statements as the legal proceedings approached. The filing further referred to reports indicating that individuals connected to Musk may have conducted extensive background checks on Altman, including tracking travel patterns and spreading unverified claims.
Musk, who co-founded OpenAI in 2015 alongside Sam Altman, exited the organisation in 2018 OpenAI's global affairs chief, Chris Lehane, questioned the underlying intent of these actions. The company also noted that any favourable legal outcome for Musk could benefit xAI's Grok platform, which has faced criticism in certain regions over safety concerns. Trial timeline and industry impact
The case is scheduled to proceed to a jury trial later this month in California, following a prior ruling by a judge in Oakland allowing the matter to move forward. Jury selection is expected to begin shortly.
Musk attempted to involve Mark Zuckerberg in a potential takeover effort The legal confrontation has drawn attention across the technology sector, as it reflects wider issues related to governance, competition, and the commercialisation of artificial intelligence. Observers view the case as a significant development that could influence how AI companies operate and are regulated in the future. The dispute highlights rising tensions in AI, with regulatory scrutiny and legal outcomes likely to influence competition, governance, and future development paths.