Elon Musk has unexpectedly withdrawn his lawsuit against OpenAI. The case was dropped on June 11th, just one day short of a scheduled conference to review the discovery process. 

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• Elon Musk has unexpectedly withdrawn his lawsuit against OpenAI, the company he co-founded.
• Musk continues to express strong opposition to Apple’s plans to incorporate ChatGPT into its operating systems, even threatening to blacklist Apple devices from his companies.
• Since filing the lawsuit against OpenAI, Musk has founded his own AI company, xAI, securing over $6 billion in funding to advance the Grok chatbot on his social network, X.

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Elon Musk Withdraws Legal Battle Against OpenAI

Musk’s Unfulfilled Promises: The OpenAI Dispute

Musk brought the lawsuit against OpenAI in March of 2024. He accused the company of breaching contracts, practicing unfair business operations, and failing its fiduciary duty. 

His central contention was that his investments in the company were made with the understanding that these resources would be used solely for developing AI for public benefit, with the only opposing concern being safety. 

The lawsuit initially sought redress for various allegations, including contract breaches, promissory estoppel, fiduciary duty violations, and unfair business practices. 

Musk also sought specific performance, damages, and restitution. 

However, the court records disclosing Musk’s decision to withdraw the lawsuit did not explain his sudden change of heart. 

OpenAI had previously described Musk’s claims as “incoherent,” and his lack of a contract made it challenging to validate his breach allegations. 

They further noted that the documents Musk provided contradicted his claims about the terms of the agreement.

Musk vs Apple: A New Frontline in AI Battle

This surprising turn of events coincides with Musk’s vehement opposition to Apple’s plans to incorporate ChatGPT into its operating systems. 

During Apple’s keynote event announcing Apple Intelligence for their upcoming iOS 18, iPadOS 18, and macOS Sequoia, Musk threatened to blacklist Apple devices from his companies, branding the integration as an “unacceptable security violation.”

Despite Apple and OpenAI reassuring that user data would only be shared with clear consent and that interactions would be secure, Musk expressed skepticism about Apple’s ability to guarantee data security. 

He argued, “Apple has no idea what’s happening once they hand your data over to OpenAI. They’re selling you down the river.”

Interestingly, since filing the lawsuit against OpenAI, Musk has founded his own AI company, xAI, and secured more than $6 billion in funding to further develop the Grok chatbot on his social network, X.

While the precise reasons behind Musk’s decision to withdraw his lawsuit against OpenAI remain a mystery, it seems to suggest a possible shift in his focus. 

It appears he is now more invested in propelling his AI projects forward while continuing to express his criticisms of OpenAI, now through social media rather than the courtrooms.

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