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OpenAI accuses Elon Musk of hypocrisy in legal fight over for-profit shift
OpenAI has traced its early conversations and email exchanges with Elon Musk to bring clarity to the scenario regarding his hypocrisy.

By Kumar Harshit

on December 16, 2024

In a recent blog post, OpenAI discusses Elon's claims and his pursuit to carry the legal battle against OpenAI in great detail calling his approach hypocrisy and unfair means to affect OpenAI’s business prospects It further adds that he is not following the principles of free market competition. OpenAI, once again, reiterates its belief in the idea of AGI and leading America in the same revolution, without any ifs and buts.

OpenAI calls out  Elon Musk for the case he continues to pursue against OpenAI going for-profit contradictory to his own opinion to make OpenAI a for-profit organization long back in 2017 when he was a board member of OpenAI and also aspiring to acquire a majority stake. 

A long-tale 

In the blog post, OpenAI has traced its early conversations and email exchanges with Elon Musk to bring clarity to the scenario regarding his hypocrisy. In a conversation, dated back to the summer of 2017, OpenAI’s team and Elon Musk agreed to make OpenAI a for-profit organization for it needed billions of dollars every year to achieve its mission. 

Elon Musk Resigns 

Furthermore, the negotiations regarding the stake and control over the board fell off leading to Elon Musk resigning from the board of OpenAI in February 2018 calling off all negotiations regarding either converting OpenAI into a for-profit organization, funding the AGI mission, or furthering the AI mission.

Merger with Tesla

Back in January 2018, probably a month before resigning from the board of OpenAI,  he had suggested that OpenAI should be merged with Tesla to enable billion-dollar funds without much hassles and as the only way to further the AI mission. 

On January 31, 2018, Elon told people in OpenAI “OpenAI is on a path of certain failure relative to Google. There obviously needs to be immediate and dramatic action or everyone except for Google will be consigned to irrelevance.” 

XAI

While updates regarding the development of OpenAI were being constantly fed to Elon Musk, he chose not to get involved while remaining pessimistic about the prospects of OpenAI. Later, on 9th March 2023, Elon formed his own AI venture XAI, competing with OpenAI directly in the competitive landscape. 

One important incident is the co-signing of an Open letter by Elon Musk on March 22, 2023, calling out on the AI community to stop the training of AI systems more powerful than GPT-04. 

Read more about XAI as XAI unveils image generation model Aurora, capable of generating realistic human portraits in seconds

OpenAI going for-profit 

Back in September 2024, OpenAI had opted to become a for-profit body, keeping its not-for-profit arms to exist even then. Owing to fund crunch and aggravating losses OpenAI is eagerly exploring ventures for fundraising to fund its growth and the bigger AI mission it’s working on.  

Read more about OpenAI as we report on OpenAI's 12 Days, 12 Livestream journey at: OpenAI announces ChatGPT’s integration with Apple iOS, exciting features revealed