Elon Musk sues OpenAI and Sam Altman again, citing involvement in racketeering activities: “The previous suit lacked teeth”

Elon Musk sues OpenAI and Sam Altman again, citing involvement in racketeering activities: "The previous suit lacked teeth"

What you need to know

  • Elon Musk has filed a new lawsuit against OpenAI, Sam Altman, and co-founder Greg Brockman. 
  • Musk claims he was lured to invest in OpenAI by its “fake humanitarian mission.”
  • The billionaire claims OpenAI’s latest models have already hit the AGI benchmark, but OpenAI is delaying the finding for financial gain. 

As a tech enthusiast with a keen interest in artificial intelligence and its ethical implications, I find myself deeply troubled by the latest developments between Elon Musk and OpenAI. Having closely followed the growth of AI over the past decade, it’s disheartening to see one of the most promising ventures in this field embroiled in such controversy.


As an analyst, I find myself once again delving into a fascinating development: Elon Musk has taken legal action against OpenAI, the creators of ChatGPT, and their CEO, Sam Altman. The lawsuit stems from what Musk perceives as a breach of trust in their founding agreement. Specifically, he alleges that OpenAI has veered away from its original mission to harness the power of generative AI for humanity’s benefit, instead focusing on financial gain.

In June, Elon Musk unexpectedly withdrew his lawsuit against OpenAI and its CEO, leaving the door open for future action. Few details were shared regarding why Musk chose to discontinue the legal battle with this promising tech company. Approximately at the same time, the startup released a blog post featuring emails from Elon Musk that indicated the firm needed extra funding for their AI’s advanced computing requirements.

Approximately a month and some weeks later, Elon Musk initiated a fresh legal action against OpenAI, Sam Altman, and co-founder Gregory Brockman at a federal court in Northern California (as reported by CNN). The lawsuit alleges similar concerns and additionally accuses the creators of ChatGPT of engaging in dishonest business transactions.

The extensive 83-page legal document alleges that OpenAI disguised its objectives under the pretext of a supposed altruistic cause, enticing figures like Elon Musk and other influential individuals to back their business endeavors. As stated by Elon Musk’s lawyer, Marc Toberoff:

As someone who has spent my career advocating for truth and justice in technology, I can’t help but feel a sense of vindication as this lawsuit exposes the Defendants’ empty philanthropy and demands accountability for their deceptive practices towards Elon Musk and the public. It’s not just about a $100 billion startup; the future of Artificial General Intelligence (AGI) hangs in the balance, and I have seen firsthand the potential dangers that can arise from misrepresentations and lack of transparency in this field. This case serves as a reminder of the importance of holding those in power accountable for their actions, especially when it comes to shaping the future of AI and its impact on our society.

OpenAI might have already achieved AGI

Elon Musk sues OpenAI and Sam Altman again, citing involvement in racketeering activities: "The previous suit lacked teeth"

As I shared with The New York Times, the previous legal action was less potent; however, this current lawsuit carries a stronger punch. The legal document outlines that Altman and Brockman allegedly coerced Musk into founding the company under false pretenses of a “safer, more transparent” business model compared to profit-driven tech titans.

Yet, the dream didn’t last long since OpenAI moved nearer to realizing artificial general intelligence (AGI). Reports suggest that Sam Altman changed the focus of OpenAI’s original mission and ultimately profited from it.

Elon Musk has publicly expressed dissatisfaction with Microsoft’s intricate alliance with OpenAI, suggesting that the company behind ChatGPT appears to have morphed into a closed-source, unofficial offshoot of Microsoft, a viewpoint shared in the lawsuit.

“Together with Microsoft, Altman formed a network of for-profit OpenAI entities that were shrouded in secrecy. This network involved excessive self-dealing, took control of the OpenAI, Inc. Board, and gradually emptied the non-profit of its advanced technology and skilled personnel.”

Elon Musk alleges in his lawsuit that OpenAI has already achieved Artificial General Intelligence (AGI) and is deliberately postponing the announcement for financial advantage. According to him, OpenAI’s recent models have either met or possibly exceeded human intelligence standards when it comes to AGI. If this is true, Elon Musk argues that Microsoft’s deal with OpenAI becomes invalid because their multi-billion dollar investment merely grants them a share of OpenAI’s profits prior to the achievement of AGI.

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2024-08-05 20:09