Elon Musk Files Antitrust Injunction Against OpenAI to Stop Its for-Profit Conversion

The massive fight by Elon Musk against a now famous AI company he previously backed, OpenAI, is still ongoing, and the latest development is an injunction filed by the billionaire’s legal team. This centers on the antitrust complaint that is targeting both OpenAI and Microsoft for allegedly working together on encouraging an anti-competitive market that prevents other companies from thriving, including xAI.

Moreover, the latest development on the case is that Musk’s injunction focuses on preventing the significant conversion of OpenAI’s business to become a ‘for-profit’ company, a factor that the tech mogul complained about multiple times.

Elon Musk Files Injunction Against OpenAI’s ‘For-Profit’ Change

Elon Musk made a significant follow-up to their case via the latest filing by his legal team which is now seeking an injunction against OpenAI’s upcoming transformation into a for-profit company. Alongside this new filing, Musk’s team also named the likes of OpenAI’s CEO Sam Altman and President Greg Brockman, together with Dee Templeton, Microsoft’s Vice President of Technology & Research Partnerships and Operation; and LinkedIn’s Reid Hoffman as defendants.

This latest motion from Musk is now looking to prevent OpenAI from adopting a for-profit business model which means that it can align itself to a single corporation for backing and funding their developments.

Musk is known for arguing against this new governance structure that is set to be changed over at OpenAI, alleging that this is an anticompetitive practice from both OpenAI and Microsoft that could undermine its rivals, particularly xAI.

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Elon Musk’s Antitrust Complaint vs. Microsoft, OpenAI

As part of this latest filing from Musk, he added two new antitrust complaints against OpenAI, its management, and their partners, for allegedly telling investors to avoid backing their competitors, including xAI. The new motion also claimed that OpenAI “wrongfully obtained competitively sensitive information” through its partner, Microsoft.

Moreover, Musk’s new filing also claimed that the new businesses by OpenAI will have the named defendants stand to benefit from the deal with “material financial interest.”

The Elon Musk and OpenAI Saga

A series of legal complaints from Elon Musk was thrown OpenAI’s way earlier this year for allegedly breaking the company’s founding agreement, which he was a part of as an early investor. It was previously revealed that OpenAI’s allegiance to Microsoft broke the company’s earlier agreement among investors as it was slowly changing its ‘not-for-profit’ tune when it started.

However, Musk backed out of the lawsuit he and his team filed several months later because of reportedly havingdoubts regarding their claims against the AI company, one day before the scheduled hearing. Musk’s pullout was dismissed without prejudice which meant that he could refile the case, a feat that the renowned tech billionaire did less than two months later.

The refiling of the case stuck, and Musk went on to prepare for their fight against a company he helped create in the first place for still breaking the agreement regarding its for-profit conversion. The latest developments from the case centered on antitrust complaints against Microsoft and OpenAI, but Musk is pushing for an injunction that would prevent the AI company from proceeding with its for-profit changes, should the executive win this massive case.

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