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Elon Musk and OpenAI are set to face off in a federal court in California regarding Musk's lawsuit against the artificial intelligence company, which he co-founded with Sam Altman in 2015. Musk seeks to block OpenAI's transition from a nonprofit to a for-profit entity, arguing in court that the original intent was to create an organization aimed at benefiting humanity, not generating profit.
Musk's legal action, which includes federal antitrust claims, comes as OpenAI aims to secure substantial funding necessary for the development of advanced AI technology. The company is currently negotiating a potential $25 billion funding round with SoftBank, which is contingent on its structural transition to a for-profit model. Musk argues that this shift contradicts their initial nonprofit goals.
In response, OpenAI plans to move for dismissal of Musk's claims, asserting that he should compete in the marketplace instead of the courtroom, highlighting the tense rivalry that has developed since Musk's departure from the organization before its growth into a leading AI firm.