OpenAI Accuses Elon Musk Of 'Cherry-Picking' Evidence In Lawsuit, Says He Backed For-Profit Shift And Quit After Failing To Secure Control

On Friday, OpenAI stated that Tesla Inc. (NASDAQ:TSLA) and xAI CEO Elon Musk initially supported a for-profit structure but exited the institution aft negotiations broke down over control, alternatively than mission.

OpenAI pushed backmost against Musk's lawsuit, accusing the billionaire of selectively utilizing interior documents to misrepresent the company's origins and its displacement to a for-profit structure.

In a elaborate blog post, OpenAI said Musk agreed arsenic aboriginal arsenic 2017 that processing artificial wide quality would necessitate a for-profit entity alongside a nonprofit — the aforesaid operation OpenAI operates nether contiguous — but aboriginal sought implicit power and walked distant erstwhile those demands were rejected.

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According to OpenAI, interior telephone notes and backstage diary entries amusement Musk actively discussed transitioning from a purely nonprofit exemplary to a operation that could rise billions of dollars portion maintaining a philanthropic mission.

"The information is that we and Elon agreed successful 2017 that a for-profit operation would beryllium the adjacent signifier for OpenAI," the institution said, adding that Musk adjacent explored forming a nationalist payment corporation, oregon PBC, soon aft those discussions.

OpenAI argues Musk's suit ignores this broader discourse by highlighting selective excerpts that represent OpenAI leaders arsenic secretly pursuing a for-profit exemplary without his knowledge.

OpenAI claims negotiations unraveled due to the fact that Musk demanded bulk ownership and afloat operational control, citing interior notes describing his insistence connected governance authorization and succession plans.

"He said that helium needed afloat power since he'd been burned by not having it successful the past," OpenAI wrote, adding that Musk besides projected merging OpenAI into Tesla, a determination the institution rejected.

OpenAI said it refused to spot AGI nether the power of immoderate azygous individual, including Musk, starring to his departure successful 2018.

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OpenAI CEO Sam Altman echoed the company's presumption connected X, saying Musk was "cherry-picking things to marque Greg look bad," referring to OpenAI President Greg Brockman.