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OpenAI denies Elon Musk’s claim there was a ‘founding agreement’

OpenAI has denied a key claim in Elon Musk’s lawsuit against the artificial intelligence giant that it has “fundamentally” departed from its “founding agreement” signed in 2015, which placed humanity before profits.

“As the Complaint itself makes clear, there is no founding agreement or agreement whatsoever with Mr. Musk,” OpenAI said in a filing in California’s San Francisco County Superior Court, according to the report. CNBC.

According to CNBC, the company said in a March 6 filing that “the founding agreement is rather a passive income for the fruits of business that Mr. Musk first supported, then abandoned, and then watched succeed without him.” “It’s a fiction that Musk came up with,” he added.

OpenAI operates entirely as a non-profit organization, as Elon Musk claimed in a lawsuit he filed against the ChatGPT maker earlier this month, in a March 6 court filing obtained by CNBC. He stated that no “establishment agreement” has been signed requiring the continuation of the “establishment agreement.” Reuters

Musk worked with OpenAI head Sam Altman to launch the company’s research lab from 2015 to 2018, but Musk is reportedly under fire over a deal he signed with Microsoft. His departure from the company came in the wake of his feud with Mr. Altman, marking a shift away from the company’s pure nonprofit roots.

Our relationship with Microsoft has deepened over the years since ChatGPT became a huge hit. Following previous investments in 2019 and 2021, Microsoft has agreed to give OpenAI an additional $10 billion as part of a “multi-year” deal.

OpenAI is still run by a nonprofit organization, but it also has a for-profit arm, 49% of which is owned by Microsoft as part of its deal with the company.

Other major shareholders in OpenAI’s profitable business include LinkedIn founder Reid Hoffman and billionaire venture capitalist Vinod Khosla of Khosla Ventures.

According to a lawsuit he filed earlier this month, Musk claimed that OpenAI aims to “maximize Microsoft’s profits, not humanity’s.”

Musk has criticized Microsoft’s more than $10 billion investment in OpenAI, which would give the company a 49% stake in the AI ​​giant’s commercial arm. via Reuters

He also claims that the company’s 2015 certificate of incorporation with the Delaware Secretary of State “memorizes” this supposed agreement.

Musk asked the judge for a jury trial and a court order requiring OpenAI to continue to honor its promise to serve the public’s interests, not Microsoft’s.

OpenAI has since advertised in a blog post on its website that it “will move to dismiss all of Mr. Elon’s claims.”

The company decided to do so, arguing in its first public comments on Musk’s lawsuit that Musk tried to gain “complete control” of the company by merging with Tesla six years ago.

“When we were discussing a for-profit organization to further our mission, Elon wanted us to merge with Tesla or have full control,” Sam Altman, Greg Brockman and Ilya Sutskever said OpenAI’s founding team and executives, including John Shulman and Wojciech. Zaremba — written in the post.

In a court filing obtained by CNBC, OpenAI added: “Seeing the impressive technological advances that OpenAI has made, Musk now wants to make that success his own.”

In a blog post co-authored with other OpenAI executives, Sam Altman said that Musk has also tried to profit from the company in the past, including six years ago when he merged with Tesla to gain “complete control” of OpenAI. He said it was a time when he was trying to obtain “rights.” Reuters

For reference, OpenAI’s ChatGPT had over 100 million weekly users as of November, according to CNBC.

“So he filed this lawsuit accusing the defendants of breaching a contract that never existed and obligations that Mr. Musk never assumed, and seeking relief calculated to benefit OpenAI’s competitors.” said the San Francisco-based AI giant.

Representatives for Mr. Musk at Company X, Tesla and SpaceX did not immediately respond to The Post’s requests for comment.

The Post also reached out to OpenAI for comment.

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