Tesla CEO has called out Sam Altman for lying about his business plan model for OpenAI, saying he went against promises to operate the company as a non-profitable organization. Musk recently took to court to bar the AI company from restructuring its core into a profitable business.
In a series of posts made on X, Elon Musk appears to be targeting OpenAI chief operating officer Sam Altman for his alleged plot to reap profits from an entity deemed as “non-benefit.”
Quoting a post from a user bashing the OpenAI organization, Musk claimed Altman “was lying the whole time.”
He was lying the whole time https://t.co/LXJo1goQx3
— Elon Musk (@elonmusk) December 7, 2024
To back his claims even further, the Tesla head shared a September Reuters report that revealed OpenAI was planning to give Sam Altman equity after the non-profit board ceases its control over the company, which he dubbed a “scam.”
What a scam https://t.co/Nrn5imwZQg
— Elon Musk (@elonmusk) December 7, 2024
OpenAI is currently facing a preliminary injunction case filed by the Tesla CEO, alongside his AI startup xAI and former OpenAI board member Shivon Zilis. The injunction aims to block OpenAI from allegedly prohibiting its investors from funding competitors, including xAI.
Musk vs Altman: Story so far
Elon Musk’s legal team’s case against OpenAI argues that the organization should be prevented from benefiting from “competitively sensitive information” allegedly shared through its ties with Microsoft.
The attorneys claim that OpenAI and Microsoft are engaging in practices that block competitors, including xAI, from accessing critical investment capital, effectively creating a “group boycott.” The legal filing also accuses OpenAI of manipulating its corporate structure to serve Microsoft’s financial interests rather than the AI industry at large.
In response, OpenAI has dismissed the motion as lacking merit, with a spokesperson calling Musk’s repeated complaints baseless.
“Elon’s fourth attempt, which again recycles the same baseless complaints, continues to be utterly without merit,” the spokesperson claimed.
In July, Microsoft relinquished its observer seat on OpenAI’s board. The Federal Trade Commission quickly noticed the decision and responded by saying it would monitor the two companies’ impact on the AI industry.
At the start of 2024, FTC Chair Linda Khan revealed that the agency would launch a “market inquiry” to examine the investments and partnerships between AI developers and major cloud service providers.
Tesla CEO won’t exploit political ties to fend off competition
Elon’s close relationship with President-elect Donald Trump has brought about speculation that he will use his political influence to weaken the competition.
The Wall Street Journal recently reported that Amazon founder Jeff Bezos, OpenAI CEO Sam Altman, and other prominent tech and business leaders who have had previous conflicts with Musk are concerned about his growing influence over President Donald Trump.
Both Bezos and Altman have publicly downplayed their worries, but the two are likely exercising cautious optimism regarding Musk’s political role.
At the New York Times DealBook Summit, Bezos, now focused on his aerospace company Blue Origin, said he was excited about a second Trump administration, which Musk has played a significant role in shaping.
The Amazon founder stated he did not believe Musk would misuse his influence for personal gain, citing Musk’s statement that he would not use political power to advantage his companies or disadvantage competitors. “I could be wrong about that, but I think it could be true,” Bezos said.
Altman also spoke at the event, stressing that it is “profoundly un-American” to use political power to harm competitors. However, Altman’s public comments contrast with reports suggesting he has reached out to Trump’s network, including Cantor Fitzgerald CEO Howard Lutnick, whom Trump has reportedly nominated for the Commerce Department’s leadership.
Musk agrees with both Bezos’s and Altman’s stances. Responding to a post from media personality Mario Nawfal on X, Elon remarked, “Even my competitors know that I will not use the system against them.”
Even my competitors know that I will not use the system against them https://t.co/rPojgCcGPK
— Elon Musk (@elonmusk) December 7, 2024
The dynamic between Elon, Bezos, and Altman is complicated due to their past confrontations. Bezos and Musk have clashed over the years, with Blue Origin challenging Space X’s Starship launches and Amazon’s Kuiper opposing SpaceX’s plans for Starlink expansion.
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