Elon Musk directs OpenAI’s profit-making revolution in new filings

In a new ruling filed late Friday in his lawsuit against OpenAI, Elon Musk’s lawyers asked for a preliminary injunction to stop OpenAI from turning into a for-profit business, reports the TechCrunch. They also asked the judge to bar the company from continuing practices they say violate US antitrust laws.

Musk’s lawyers say that because of the allegations that CEO Sam Altman is acting on his own, OpenAI will “likely lack enough money to pay damages” if Musk wins the case. The proposal follows reports of OpenAI’s intention to become a for-profit entity and that it has recently begun discussions with regulators to proceed with a change in its structure.

As for the antitrust claims, Musk’s lawyers say OpenAI and Microsoft “told investors not to fund their competitors,” which they say violates the Sherman Act. And they say Musk has “confirmed that at least one major investor” who had previously contributed to xAI’s funding round has since “refused to invest in xAI.”

They also claim that OpenAI is benefiting from “improperly obtained competitively sensitive information” obtained through Microsoft connections that they insist is prohibited under the Clayton Act. Lawyers say “the very reason Microsoft got its board seat” — referring to Microsoft VP Dee Templeton’s time as a non-voting board member at OpenAI — “was to link business decisions to OpenAI.”

OpenAI spokeswoman Hannah Wong said in an emailed statement The Verge:

Elon’s fourth attempt, which revives the same baseless complaints, continues to have no merit at all.

Update November 30: Additional statement from OpenAI spokesperson Hannah Wong.