Elon Musk has decided to withdraw his lawsuit against OpenAI and its CEO, Sam Altman, bringing an end to a months-long legal confrontation between the co-founders of the prominent artificial intelligence startup. The motion to dismiss the lawsuit was filed by Musk’s lawyers on Tuesday, just one day before a scheduled court hearing regarding OpenAI’s request to dismiss the case.
The lawsuit, filed by Musk in March, accused OpenAI of abandoning its original nonprofit mission by reserving advanced AI technology for private customers. Musk sought a jury trial and demanded that the company, along with Altman and co-founder Greg Brockman, return any profits they had made. However, OpenAI countered Musk’s claims, calling them “incoherent” and “frivolous.” They also published Musk’s emails from the company’s early days, which showed him acknowledging the necessity for the company to generate significant revenue to support its AI ambitions.
Musk’s lawyers did not provide a reason for dropping the lawsuit. The decision came shortly after Musk expressed his disapproval of OpenAI’s recent partnership with Apple, which integrates ChatGPT with Siri on an opt-in basis. Musk criticized the partnership on his social media platform, X, stating, “If Apple integrates OpenAI at the OS level, then Apple devices will be banned at my companies. That is an unacceptable security violation.” Apple clarified that user queries sent to ChatGPT would not be stored by OpenAI.
The legal battle between Musk and OpenAI highlighted differing visions for the company’s future. Musk accused OpenAI of prioritizing profit over its original mission to benefit humanity, alleging that the company was racing to develop powerful AI to maximize profits. OpenAI, on the other hand, suggested that Musk was resentful of his lack of involvement in the startup’s success, having left the company in 2018 after failing to persuade his co-founders to allow Tesla to acquire it.
Despite OpenAI’s dismissal of Musk’s claims as “fiction,” the company has faced internal challenges regarding its direction and leadership. Last year, OpenAI experienced a leadership crisis that led to Altman’s temporary removal, with concerns raised by board members about AI’s potential risks. Altman was later reinstated following intervention by Microsoft, a major investor, in what was seen as a victory for those advocating for the commercialization of AI technology.
In recent months, several high-profile safety leaders have left OpenAI, citing concerns that the company prioritized rapid product rollout over safety. In response, OpenAI established a new committee to make safety and security recommendations to its board.
Musk, who co-founded OpenAI in 2015, has been vocal about his concerns regarding the company’s direction. Since his departure, OpenAI has secured substantial investments, including billions from Microsoft, and has become a central player in the AI industry. Meanwhile, Musk is developing his own AI venture, xAI, for which he recently raised $6 billion.
The resolution of this lawsuit marks the end of a contentious chapter between Musk and OpenAI, but the broader debate over the direction and commercialization of AI technology continues.
