OpenAI countersues Elon Musk amid escalating legal dispute
OpenAI has filed a countersuit against Elon Musk, alleging that he engaged in a campaign of harassment and attempted a hostile takeover to advance his own interests in the artificial intelligence sector.
This countersuit follows Musk’s earlier legal actions against OpenAI, which he co-founded in 2015 but departed from in 2018.
In February 2025, Musk, now leading his own AI venture, xAI, made a $97.4 billion bid to acquire a controlling stake in OpenAI—a move OpenAI describes as deceptive and aimed at disrupting its operations.
OpenAI’s legal filing contends that Musk’s actions constitute unfair competition and interference with its investor and customer relationships. The company asserts that Musk’s attempts to merge OpenAI with Tesla and his subsequent takeover bid were strategic maneuvers to monopolize AI advancements.
Read more
Elon Musk sells social media platform X to xAI for $33 billion
China’s DeepSeek releases AI model upgrade, intensifies rivalry with OpenAI
Musk’s legal team maintains that the acquisition offer was serious and questions OpenAI’s rejection of what they consider fair market value. The case is scheduled for a jury trial in March 2026.
This legal battle underscores the intensifying competition and complex dynamics among key figures in the rapidly evolving AI industry.
For the latest news, follow us on Twitter @Aaj_Urdu. We are also on Facebook, Instagram and YouTube.