OpenAI Countersues Elon Musk, Accuses Him of Undermining AI Progress for Personal Gain

OpenAI Countersues Elon Musk, Accuses Him of Undermining AI Progress for Personal Gain

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Written By : TNN - News Room
Saturday, April 12, 2025

The legal battle between OpenAI and Elon Musk has escalated, with the artificial intelligence company filing a countersuit against the Tesla and xAI CEO. OpenAI claims Musk has been working “nonstop” to obstruct its operations in a bid to seize control of its groundbreaking technology.

In a statement released Wednesday, OpenAI accused Musk of using "bad-faith tactics" aimed at derailing the company’s mission and securing an unfair advantage in the race for advanced AI development. The move comes in response to Musk’s earlier lawsuit against OpenAI CEO Sam Altman, which challenged the company's shift from a non-profit to a for-profit model.

“Elon's nonstop actions against us are just bad-faith tactics to slow down OpenAI and seize control of the leading AI innovations for his personal benefit,” the company said. “Today, we countersued to stop him.”

Musk, who co-founded OpenAI but left the organization in 2018, alleges the company has strayed from its original mission to ensure AI benefits all of humanity. A federal judge in Oakland, California, has set a trial date for March 2026, fast-tracking the high-profile case. The judge also denied Musk’s request to halt OpenAI’s structural changes and indicated he would likely be required to testify.

OpenAI further claims that Musk has been spreading misinformation and pushing a narrative centered on control and monetization, rather than ethical AI development. “Elon's never been about the mission,” the company posted on X. “He's always been about his own agenda.”

Musk’s own AI venture, xAI, has struggled to catch up to OpenAI, despite its recent merger with social media platform X (formerly Twitter). Last month, Musk offered to acquire OpenAI for $97.4 billion—an offer rejected by Altman, who replied jokingly, “no thank you but we will buy twitter for $9.74 billion if you want.”

Marc Toberoff, Musk’s lawyer, criticized OpenAI’s handling of the proposal, saying the board failed to properly consider the offer. “It’s apparent they prefer to negotiate with themselves on both sides of the table than engage in a bona fide transaction in the best interests of the charity and the public,” Toberoff stated.

As the rivalry intensifies, experts say the public dispute is becoming a distraction from the broader mission of building safe and responsible AI. “This is about control. This is about revenue,” said Ari Lightman, a digital media professor at Carnegie Mellon University. “And making AI equitable seems to have taken a backseat.”

OpenAI Countersues Elon Musk, Accuses Him of Undermining AI Progress for Personal Gain

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