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International

Elon Musk has filed a lawsuit against OpenAI CEO Sam Altman for alleged breach of contract

Musk’s lawyers argue that OpenAI’s current pursuit of profits violates this fundamental agreement

OpenAIs CEO Sam Altman (left) and Elon Musk, co-founded OpenAI in 2015 but stepped down from the company's board in 2018. — Reuters
OpenAI CEO Sam Altman (left) and Elon Musk co-founded OpenAI in 2015 but stepped down from the company’s board in 2018. — Reuters

Elon Musk has filed a lawsuit against OpenAI and its CEO Sam Altman, among others, alleging breach of contractual agreements dating back to the ChatGPT-maker’s founding in 2015. The suit, filed in San Francisco on Thursday, alleges that OpenAI’s focus on profit-seeking runs counter to the original agreement made with Musk when the company was founded.

According to the lawsuit, Altman and OpenAI co-founder Greg Brockman initially approached Musk to create an open-source, non-profit entity dedicated to developing artificial intelligence technology for the betterment of humanity. Musk’s lawyers argue that OpenAI’s current pursuit of profits violates that fundamental agreement.

Elon Musk, who co-founded OpenAI in 2015 but stepped down from the board in 2018, has taken legal action against the organization he helped create. So far, there has been no immediate response to Reuters requests for comment from OpenAI, Microsoft or Elon Musk.

ChatGPT, OpenAI’s chatbot, quickly became the world’s fastest-growing software application within six months of its launch in November 2022. ChatGPT’s success prompted the emergence of competing chatbots from major players such as Microsoft and Alphabet, as well as various startups that capitalized on the excitement to secure substantial funding.

The versatile ChatGPT, used by companies for tasks ranging from document summarization to coding, has sparked a race among Big Tech companies to introduce their own AI-based productivity offerings. Elon Musk’s legal action adds a new level of complexity to the evolving landscape of AI development and collaboration.

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