Elon Musk Withdraws Lawsuit Against OpenAI CEO

Just before the judge decided on proceeding with the case or not, Elon Musk dropped charges against the Open AI CEO, Sam Altman.

Elon Musk has attempted to withdraw his lawsuit against OpenAI and its CEO, Sam Altman. The lawsuit accused the artificial intelligence firm of deviating from its original mission to develop AI for the benefit of humanity rather than for revenue.

According to court filings in the San Francisco Superior Court on June 11, Musk’s counsel requested that the breach of contract lawsuit be dismissed without prejudice.

The case is not permanently terminated due to the dismissal without prejudice, which enables Musk to re-file in the future.

According to previous court documents, the decision was made one day before the federal judge’s scheduled decision on whether to dismiss the case or advance it to the next phase.

Musk did not state his decision to withdraw the lawsuit.

On February 29, 2024, Musk filed a lawsuit against OpenAI and Altman for breach of contract, alleging that the ChatGPT-creator firm had strayed from its original mission to develop its large language models for the “benefit of humanity, not profit.”

His complaints were explicitly directed at OpenAI’s decision to introduce ChatGPT-4 in a closed-source manner and its collaborations with tech giant Microsoft to develop artificial general intelligence (AGI) technology.

Musk demanded that OpenAI adhere to its open-source principles and sought an injunction to prevent the for-profit exploitation of AGI technology at the time.

Musk also lodged complaints against OpenAI for fiduciary duty violations and discriminatory business practices.

The billionaire’s most recent dispute with OpenAI pertains to a collaboration with Apple, which will result in the integration of ChatGPT into the operating systems of the iPhone, iPad, and Mac.

Musk contends that Apple’s decision to entrust privacy and security to a third party, such as OpenAI, is an “unacceptable security violation” against Apple users.

Nevertheless, Apple asserts that OpenAI would not store data requests and that user IP addresses would remain obscured.

Apple emphasized the “privacy promise” of Apple Intelligence by stating that it is aware of your data without accumulating it.

In November of last year, Musk assisted in the introduction of the AI chatbot Grok, which was designed to compete with ChatGPT.

xAI, the company that developed Grok, received $6 billion in funding from Valor Equity Partners, Andreessen Horowitz, Sequoia Capital, and Fidelity Management & Research Company in late May.