OpenAI and CEO Sam Altman have dismissed allegations by Elon Musk, accusing him of attempting to disrupt the company’s growth as a competitor. Musk, a co-founder who left OpenAI in 2018, later launched his own AI firm, xAI, in 2023.

The legal battle revolves around OpenAI’s shift to a for-profit structure, which the company argues is necessary to secure funding and stay competitive. Altman rejected a $97.4 billion takeover bid from a Musk-affiliated group, stating OpenAI is not for sale.

In court filings, OpenAI claims Musk has used social media attacks, legal pressure, and a sham acquisition offer to interfere with its operations. The company seeks court intervention to halt his actions and hold him accountable for damages.

Musk previously sued OpenAI, alleging it abandoned its nonprofit mission. OpenAI countered, accusing him of trying to control AI advancements for personal gain. A jury trial is expected next spring.

As OpenAI pushes forward with its business model transition, the case highlights the intense rivalry in the AI sector. The outcome could shape the company’s future and its role in the industry.

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