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OpenAI Seeks State Investigations into Elon Musk's Alleged Anti-Competitive Conduct Ahead of Trial

Apr 06, 2026 20:00 UTC
TSLA, AMZN, ^VIX
Medium term

OpenAI has asked California and Delaware authorities to investigate Elon Musk and his associates for anti-competitive behavior as a high-profile trial approaches. The company claims Musk's actions could hinder progress toward artificial general intelligence.

  • OpenAI is requesting investigations into Elon Musk's alleged anti-competitive behavior by California and Delaware authorities
  • Musk and OpenAI co-founder Sam Altman established the nonprofit AI lab in 2015
  • Musk left OpenAI in 2018 after pushing for a merger with Tesla and later sued the company in 2024
  • Jury selection for the trial is set to begin on April 27 in the Northern District of California
  • OpenAI claims Musk's actions could hinder progress toward artificial general intelligence (AGI)
  • The company has previously warned investors about Musk's potential to make exaggerated claims during the trial

OpenAI has formally requested state-level investigations into Elon Musk and his associates, alleging anti-competitive conduct as a major trial between the two parties approaches. In a letter to California and Delaware attorneys general, OpenAI strategy chief Jason Kwon accused Musk of orchestrating attacks against the AI company, including coordination with Meta CEO Mark Zuckerberg. The trial, which focuses on Musk's 2024 lawsuit against OpenAI, is set to begin jury selection on April 27 in the Northern District of California. Musk co-founded OpenAI in 2015 as a nonprofit alongside Sam Altman and other researchers, but left the organization in 2018 after advocating for a merger with Tesla. He later established xAI and filed a lawsuit alleging manipulation and deception by OpenAI executives when the company considered transitioning to a for-profit model. Kwon's letter argues that Musk's actions could impede OpenAI's mission to develop artificial general intelligence (AGI), a system capable of matching or surpassing human intelligence. The letter emphasizes that Musk's behavior threatens to shift control of AGI development from mission-driven entities to competitors lacking similar principles. OpenAI has previously warned investors and partners about Musk's potential to make exaggerated claims during the trial, describing his tactics as 'harassment' consistent with past behavior. The company's concerns highlight the broader implications of competitive dynamics in the AI sector as regulatory scrutiny intensifies. With jury selection scheduled for late April, the case has drawn attention to the legal and ethical boundaries of AI development. The outcome could influence how regulators approach competition in the rapidly evolving technology landscape. OpenAI's proactive engagement with state authorities reflects its strategic effort to address perceived threats to its long-term objectives.

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