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Elon Musk Intensifies Legal War on OpenAI Accusing Microsoft of Antitrust Violations as Apple Charts Its Own AI Path

Word on the StreetThursday, Nov 28, 2024 4:00 pm ET
1min read

Elon Musk continues to escalate his legal battle against OpenAI, having recently filed a 107-page lawsuit in the Northern District of California. The lawsuit amplifies the claims initially made in August, asserting that OpenAI has become a profit-driven corporation, diverging from its original mission as a nonprofit.

Musk's updated complaint now includes antitrust allegations against both Microsoft and California Attorney General Rob Bonta. Musk accuses Microsoft and OpenAI of leveraging their market dominance to stifle competition in the generative AI space, allegedly coercing investors not to fund rival companies like Musk's own xAI. Established in 2023, xAI has successfully raised $50 billion with $5 billion in its latest funding round.

The contention over technical talent has also surfaced as a critical issue in Musk's challenge against OpenAI. He criticizes OpenAI's plan to spend $1.5 billion to hire 1,500 employees, which he argues reflects aggressive monopolistic behavior by hoarding scarce AI experts.

Parallel to these issues is Musk's concern regarding OpenAI's removal of clauses prohibiting AI from being used for military purposes, as seen through their collaborations with the U.S. Department of Defense. Musk warns of the risks associated with militarizing AI, highlighting how far OpenAI has strayed from its initial values of openness and ethical considerations.

Musk's deep-rooted history with OpenAI adds complexity to the current legal frictions. Back in 2015, he co-founded OpenAI alongside key figures like Sam Altman and Greg Brockman, intending to counteract the influence of tech giants like Google in the artificial intelligence domain. However, following disputes over leadership and vision, Musk exited the board in 2018, ceasing further financial contributions.

Responding to Musk's litigious approach, OpenAI has contested the allegations, while Microsoft remains silent on the matter. Meanwhile, the industry critically watches these developments, anticipating how Musk’s accusations and potential court decisions might reverberate across the AI landscape.

Apple, amidst its efforts to enhance Siri using advanced large language models like chatGPT, looks to evolve its AI strategy by 2026. Although it currently relies on OpenAI's technology for more complex tasks in iOS 18.2, Apple intends to integrate deeply its proprietary systems, aiming for greater conversational intelligence and interaction with its virtual assistant.

The intrigue lies in Apple's internal R&D undertakings that point towards building an independent AI framework. Reports highlight tools such as the 1UP and Smart Replies Tester being employed to refine conversational AI attributes, engaging Apple's rumored large language model codenamed Ajax.

As developers anticipate Apple's forthcoming assistant updates, including those influenced by generative AI models, the tech giant continues to demand high control over its innovative capabilities—indicative of its long-term strategic vision for autonomous AI development tools fully integrated within Apple's ecosystem.

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