OpenAI Accuses Elon Musk of Acting in Bad Faith in New Lawsuit

11.04.2025

OpenAI has filed a countersuit against Elon Musk, claiming he has continuously acted in bad faith to hinder the company’s progress and gain control over advanced AI technologies for his personal benefit. The lawsuit, filed Wednesday, alleges Musk has tried to slow OpenAI’s business through misleading claims and legal maneuvers.

The dispute stems from Musk’s own lawsuit against OpenAI CEO Sam Altman, in which he accused the company of abandoning its original mission to develop AI for the benefit of humanity. Musk, who co-founded OpenAI but left in 2018, claims the company’s transition to a for-profit model violates its founding principles.

A federal judge recently set a March 2026 trial date in the case, declining Musk’s request for an injunction to halt OpenAI’s corporate restructuring. The judge also indicated Musk is expected to testify during the proceedings.

OpenAI, in a public statement, said Musk’s actions are an attempt to “seize control of the leading AI innovations” and that he has spread misinformation about the company. The statement emphasized that his motivations are self-serving and not aligned with OpenAI’s mission.

As tensions rise, the rivalry between OpenAI and Musk’s competing AI venture, xAI, intensifies. Despite its high valuation, xAI has yet to match OpenAI’s technological progress. OpenAI also revealed that Musk had made a failed $97.4 billion offer to acquire the company earlier this year