After Elon Musk filed a lawsuit last year against the Sam Altman-run AI firm OpenAI, a group of former employees of the company this week has filed a legal brief supporting the xAI and Tesla leader’s case.
On Friday, a group of 12 former OpenAI employees said in a court filing that the company’s restructuring efforts would “fundamentally violate” the original non-profit mission, as detailed in a report from Reuters. The employees said they were in technical and leadership positions at the company, along with explaining that they believed the not-for-profit model was important for a variety of reasons.
During their time there, oversight of the non-profit was considered a key part of the company’s discussions, according to the group. Although this approach was regularly emphasized during their time at the company, recent pressures from investors to restructure the company into a for-profit could impede on crucial elements of the company’s mission.
The former employees argued that the non-profit structure helped in recruiting efforts, as many of the company’s staffers simply joined because they believed in the original mission. OpenAI, however, responded by claiming that the original mission wouldn’t change even if the structure does.
“Our Board has been very clear: our nonprofit isn’t going anywhere and our mission will remain the same,” the company said in a statement.
NEWS: OpenAI CEO shares some of his thoughts on Elon Musk during a conversation with Bloomberg TV. As per Altman, OpenAI is not for sale.
Altman’s comments followed reports that Musk and several large investors have offered $97.4 billion to acquire the nonprofit controlling… pic.twitter.com/bDN8OBr2oR
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Musk, who helped start OpenAI but left in 2018, has been highly critical of Altman and OpenAI’s efforts to become a for-profit in recent years. He officially filed a lawsuit against the ChatGPT maker last February, before dropping it in June and reviving it in August.
In the suit, Musk alleged that he had been “betrayed by Altman and his accomplices” after investing around $45 million dollars into the company, while OpenAI and investor Microsoft “established an opaque web of for-profit OpenAI affiliates, engaged in rampant self-dealing.”
In November, Musk’s legal team filed a motion for an injunction with U.S. District Judge Yvonne Gonzalez Rogers, who is presiding over the case, claiming that “irreparable harm” would occur if it wasn’t granted. The judge last month denied the injunction request, saying that Musk’s recent offer to buy OpenAI for $97.4 billion undermined his claims of harm.
“Musk has not demonstrated likelihood of success on the merits,” Rogers said in response to the request for an injunction, adding that the original $45 million “is just a lot of money [to invest] on a handshake.”
Despite denying the request, the judge did say that the case could proceed in a California courtroom as soon as this fall, “given the public interest at stake and potential for harm if a conversion contrary to law occurred.”
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