OpenAI

Elon Musk has taken legal action against OpenAI, the company he co-founded and supported with a massive $44 million donation. This action aligns with its departure from its nonprofit mission. This lawsuit names CEO Sam Altman, co-founder Greg Brockman, Microsoft, Reid Hoffman, and other defendants. 

The accusations in this Lawsuit include the following: “OpenAI is stifling competition by putting pressure on investors not to fund rivals,” including Musk’s own AI company, XAI. 

Despite this Lawsuit battle, Josh Kushner, founder of Thrive Capital and critical investor in OpenAI, praised Elon Musk for his work with the company and his impact on humanity. He is trying to play down any conflicts between Musk and OpenAI’s leaders. 

Thrive Capital has played an essential role in OpenAI’s growth and contributed $1.3 billion to its recent $6.5 billion funding round, which valued the company at $157 billion. 

The firm also promises to invest an additional $1 billion next year if OpenAI meets the revenue target of $11.6 billion. Josh said, “Musk always does what he thinks is right and benefits all Americans.” 

Thrive Captial’s investments always remain focused on OpenAI and steer clear of direct competitors, such as an xAI Musk company, in line with industry conflict of interest norms. 

This lawsuit battle comes amid rising tensions between AI firms and their investors. Some reports suggest that OpenAI has tried to discourage investors from supporting rival companies, sparking concerns about fairness in the AI industry. 

However, Kushner chose not to address these claims and instead highlighted OpenAI’s leaders’ appreciation for Musk’s early contributions.

Musk’s accusations have sparked new talks about fairness in AI and the challenge of working together while competing. 

Josh’s positive remarks show that he wants to make peace between key players, but the Musk Lawsuit puts more focus on OpenAI’s actions.