OpenAI Countersues Elon Musk Over “Bad-Faith Tactics” in AI Power Struggle
OpenAI has countersued Elon Musk, accusing him of a coordinated campaign to sabotage the company. The AI giant says Musk has used press attacks, legal claims, and even a “sham bid” to disrupt its move toward becoming a for-profit company — a shift OpenAI claims is vital to securing $40 billion in funding. “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 wrote in a filing.
Musk, who co-founded OpenAI in 2015 but left before its rapid rise, launched his own AI venture, xAI, last year. In response to the suit, his legal team defended a $97.4 billion takeover offer made earlier this year, which OpenAI rejected. “Had OpenAI’s Board genuinely considered the bid as they were obligated to do they would have seen how serious it was,” Musk’s attorney Marc Toberoff said. OpenAI sees the bid as just another move to interfere, while Musk insists it was fair market value.
The legal battle, which is set to go to trial next spring, reflects the deepening rift between two of AI’s biggest names. OpenAI is pushing to finalize its for-profit transition by year’s end, while Musk accuses the company of straying from its original mission. OpenAI says Musk simply “could not tolerate seeing such success for an enterprise he had abandoned and declared doomed.”
