Elon Musk sues Sam Altman, OpenAI over agreement breach

Elon Musk urges OpenAI to return to its open-source principles and requests an injunction to prevent the for-profit exploitation of AGI technology.

Elon Musk, owner of X, SpaceX and Tesla, is in a legal battle with OpenAI and its CEO, Sam Altman, claiming a breach of their nonprofit agreement.

The legal action against OpenAI and Sam Altman focuses on the claimed departure from their founding principles. In a recent filing, Musk argues that OpenAI’s collaboration with Microsoft has deviated from its original mission of advancing open-source artificial general intelligence (AGI) for the benefit of humanity.

Musk’s legal action, submitted in the San Francisco Superior Court, details complaints such as contract breach, fiduciary duty violation, and unfair business practices. He urges OpenAI to return to its open-source principles and requests an injunction to prevent the for-profit exploitation of AGI technology.

According to Musk’s claim, the launch of GPT-4 in March 2023 deviated significantly from OpenAI’s principles. Despite being presented as a breakthrough in AI, GPT-4 is a closed model, unlike earlier versions. Musk argues that this move toward proprietary tech benefits Microsoft financially, contradicting OpenAI’s initial nonprofit mission.

OpenAI started as a nonprofit artificial intelligence (AI) research lab in 2015 but became a commercial giant after establishing a business arm in 2020. As of today, OpenAI has shifted its focus to a profit-driven model. Critics, including co-founder Musk, argue that the company is now focused on speed and profit instead of positive human impact.

Related: OpenAI accuses New York Times of hacking AI models in copyright lawsuit

According to the Financial Times, OpenAI’s revenues reached over $2 billion annually, driven by the immense success of its leading AI product, ChatGPT, positioning it as one of the fastest-growing tech companies ever.

Musk has consistently viewed AI as a significant threat to human civilization. He has advocated for rigorous government regulation and careful handling of AI research, gaining attention from regulators. Musk’s key recommendation has been to acquire extensive knowledge to better grasp the issue.

Elon Musk also critiques the expertise of OpenAI’s current board, stating it lacks the technical knowledge required for responsible AGI development. Musk highlights the 2023 removal and subsequent reinstatement of CEO Sam Altman as evidence of a profit-oriented agenda orchestrated to align with Microsoft’s interests.

Musk, an original board member of OpenAI until 2018, stated that the conflict between the board and Altman is related to the development of GPT-4 and the potential next iteration of AGI technology. Musk expresses concern about how this could impact public safety.