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OpenAI says Elon Musk wanted it to be for-profit in 2017

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OpenAI Responds to Elon Musk’s Legal Challenge #

OpenAI has responded to Elon Musk’s recent legal action against the company, revealing details about their past relationship and disagreements.

Musk’s Early Involvement and Departure #

According to OpenAI, Musk was interested in converting the organization to a for-profit structure as early as 2017. The company claims Musk created a public benefit corporation called “Open Artificial Intelligence Technologies, Inc.” in September 2017. However, negotiations over equity, control, and leadership ultimately fell through.

OpenAI alleges that Musk walked away when he couldn’t secure majority equity and full control. They state that Musk told them they would fail without his involvement.

Conflicting Visions #

Emails and text messages shared by OpenAI suggest Musk had concerns about the nonprofit model from the beginning. He proposed various alternatives, including integrating OpenAI into Tesla.

The company claims Musk believed OpenAI was “on a path of certain failure relative to Google” and pushed for major changes in structure and funding.

Musk’s recent legal actions seek to prevent OpenAI from converting to a fully for-profit entity. His attorneys argue that OpenAI has strayed from its original mission of developing artificial general intelligence “for the benefit of humanity.”

The lawsuit also alleges antitrust violations, claiming OpenAI and Microsoft are attempting to dominate the AI industry by restricting competitors’ access to investment capital.

OpenAI’s Growth and Competition #

Since launching ChatGPT, OpenAI has seen rapid growth and significant investment. The company’s valuation has reached $157 billion, with major funding from Microsoft and other investors.

OpenAI is now competing with various AI startups and tech giants in a market predicted to generate over $1 trillion in revenue within a decade.

As the legal battle unfolds, it highlights the complex relationships and high stakes in the rapidly evolving field of artificial intelligence.