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OpenAI fires back with lawsuit against Elon Musk, alleging he’s wielded every weapon to hurt them.

Levi Farrer by Levi Farrer
April 10, 2025
in Economics, Technology
Elon Musk

OpenAI took aggressive action against Elon Musk by submitting a countersuit on Wednesday at California’s U.S. District Court which charged him with utilizing “every tool available to harm” them. The company counterattacks the lawsuit filed by Musk which seeks to block their transition to a profit-driven business model as a judge scheduled the case for a spring 2025 jury trial according to Reuters.

OpenAI used X to declare that Elon Musk continues his relentless attacks as a bad-faith attempt to disable their operations and steal major AI breakthroughs for his personal gain. We’re countersuing to stop him,” OpenAI posted on X, Musk’s own turf. The legal document requests a court order to stop Musk’s “unlawful and unfair” actions while demanding compensation for past damages.

The countersuit portrays Musk as a disappointed co-founder. The lawsuit reveals that Musk formed OpenAI as a nonprofit alongside its creators before their disagreements about control and Tesla acquisition attempts in 2017 and 2018. “Musk bailed, betting OpenAI would flop without him, and vowed to chase AI at Tesla instead,” it reads. Fast-forward to 2022: ChatGPT explodes, snagging massive attention—sans Musk. The lawsuit states that Musk abandoned OpenAI because he could not accept its success after leaving the company and he has dedicated himself to destroying OpenAI while developing xAI to acquire its technological dominance “not for humanity, but for Elon Musk.”

OpenAI battles to defend its purpose while facing accusations that Musk uses his influence to destroy their work and claim AI dominance.

Tags: Elon MuskOpen AI
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