Elon Musk’s xAI Files Lawsuit Against OpenAI Over Alleged Tech Theft and Poaching

The intense rivalry between AI giants has entered the courtroom, as Elon Musk's artificial intelligence firm, xAI, has filed a comprehensive lawsuit against OpenAI, the creator of ChatGPT. The complaint, lodged in the US District Court for the Northern District of California, accuses OpenAI of engaging in a systematic and "unlawful campaign" to poach key staff and illicitly acquire sensitive, proprietary technology related to xAI’s Grok chatbot. This legal action significantly escalates the long-running feud between Musk and the company he co-founded.

Targeting Grok’s ‘Secret Sauce’

The lawsuit claims that OpenAI strategically targeted xAI personnel who held direct knowledge of Grok’s source code, infrastructure, and core business strategies. This alleged poaching scheme aimed to gain unauthorized access to xAI’s confidential developments. Among those named is former engineer Xuechen Li, who is already the subject of a separate lawsuit for alleged trade secret theft and is under a temporary court order restricting his AI-related work at OpenAI. The seriousness of the dispute was highlighted by an email exchange included in the filing, where a former xAI executive sent a blunt response to a legal warning: "suck my dick."

OpenAI Denies Claims Amid Growing Feud

OpenAI has swiftly denied all the allegations, asserting a strong stance against corporate misconduct. In a statement addressing the claims, OpenAI said, "We have no tolerance for any breaches of confidentiality, nor any interest in trade secrets from other labs." The company further characterized Musk's legal maneuvering as "ongoing harassment." This clash is the latest chapter in Musk's contentious relationship with OpenAI, which began when he departed the firm in 2018. Musk has consistently accused CEO Sam Altman and OpenAI of abandoning their founding nonprofit mission in favor of rapid commercialization and private gain.