OpenAI hits back at Elon Musk lawsuit, says he suggested for-profit entity

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OpenAI hits back at Elon Musk lawsuit, says he suggested for-profit entity

OpenAI is countering Elon Musk's lawsuit that challenges its transition to a for-profit model, highlighting Musk's previous support for such a structure. Musk, a co-founder of OpenAI, had initially suggested a for-profit entity before opposing it after leaving the company in 2018. The legal dispute stems from Musk's claim that OpenAI has strayed from its original nonprofit mission.

The lawsuit, which Musk filed in March 2024 and later refiled, has prompted OpenAI to present evidence of Musk's earlier advocacy for a for-profit model. OpenAI's legal team emphasizes that Musk's past communications indicate he believed a for-profit structure could be beneficial. This ongoing legal battle underscores the complexities of governance and control in rapidly evolving AI companies.

• Musk's lawsuit claims OpenAI breached its nonprofit founding mission.

• OpenAI argues Musk previously supported a for-profit structure.

Key AI Terms Mentioned in this Article

For-Profit Structure

A business model where a company operates to generate profit, which OpenAI transitioned to.

Nonprofit

An organization that operates without profit motives, which was OpenAI's original structure.

Generative AI

A type of AI that can create content, exemplified by OpenAI's ChatGPT.

Companies Mentioned in this Article

OpenAI

An AI research organization known for developing advanced AI technologies like ChatGPT.

xAI

A company founded by Musk to compete with OpenAI in the AI space.

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