Elon Musk Seeks Legal Action to Block OpenAI’s Transition to For-Profit Model

CGC News Reporter December 1, 2024

Elon Musk has once again taken legal action, requesting a U.S. court to halt OpenAI, the creator of ChatGPT, from transitioning into a for-profit entity. According to a report from CNBC on Saturday, Musk’s legal team, representing his AI startup xAI, filed an injunction on Friday.

The injunction not only seeks to prevent OpenAI’s shift towards a profit-driven model but also accuses the company of allegedly prohibiting its investors from funding competing businesses. This legal move marks the latest chapter in a long-standing business dispute between Musk and OpenAI, an organization he co-founded in 2015 but departed from years ago.