Elon Musk has expanded his lawsuit against OpenAI, the AI company he co-founded, and added Microsoft as a defendant. The lawsuit, filed in California, accuses OpenAI and Microsoft of trying to monopolize the generative AI market and block competition. Musk claims their exclusive licensing agreements were made without proper approvals and violate antitrust laws.
The lawsuit also criticizes OpenAI’s shift from a nonprofit to a $157 billion for-profit company in just eight years. Musk argues OpenAI and Microsoft are putting profits ahead of fairness and public benefit. He is asking the court to cancel OpenAI’s license with Microsoft and force them to give up profits gained unfairly.
OpenAI called the new claims “baseless,” and Microsoft has not commented. Musk’s lawyer accused Microsoft of “escalating anticompetitive practices” and said transparency is needed. This builds on Musk’s earlier lawsuit, where he argued OpenAI has strayed from its original mission.