Musk fails in bid to block OpenAI becoming forprofit business

AFP | Washington

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A US judge on Tuesday denied Elon Musk’s request to prevent OpenAI from becoming a for-profit business in a loss for the Tesla tycoon amid his feud with Sam Altman.

US District Court Judge Yvonne Gonzalez Rogers ruled that Musk and his xAI startup failed to prove an injunction against OpenAI was necessary as the case heads to trial.

Musk sued in California federal court to stop OpenAI from transitioning from a nonprofit to a for-profit business, arguing the startup violated antitrust law and betrayed his trust in their mission as a co-founder of OpenAI.

The judge wrote that, while Musk did not prove the need for an injunction, she is prepared to expedite a trial on that claim later this year.