Judge Rules Against Elon Musk’s Request To Stop OpenAI

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Billionaire Elon Musk has lost a court bid requesting a judge to temporarily block ChatGPT creator OpenAI from carrying out plans to become a for-profit business.

The judge ruled Musk does not have “the high burden required for a preliminary injunction.”

However, Musk did receive a small victory.

California Federal District Court Judge Yvonne Gonzalez Rogers agreed to hear Musk’s core argument against OpenAI in an expedited scheduled trial in the fall.

Per Yahoo Finance:

Elon Musk lost a court bid asking a judge to temporarily block ChatGPT creator OpenAI and its backer Microsoft (MSFT) from carrying out plans to turn the artificial intelligence charity into a for-profit business.

But the billionaire at the same time scored a major win.

In an order denying Musk’s immediate request, California federal district court Judge Yvonne Gonzalez Rogers offered to hear Musk’s core claim against OpenAI on an expedited schedule that would set the trial for this fall.

“Given the public interest at stake and potential for harm … the Court is prepared to expedite trial to the fall of 2025,” she wrote in an order issued Tuesday.

Musk has asked for an injunction to stop OpenAI, its co-founder Sam Altman, and its largest investor, Microsoft, from completing plans for OpenAI to convert from a nonprofit to a for-profit enterprise — and from transferring any material assets owned by OpenAI or its subsidiaries, including intellectual property.

Here’s what The Guardian reported:

A US judge on Tuesday denied Elon Musk’s request for a preliminary injunction to pause OpenAI’s transition to a for-profit model but agreed to hear a trial in the fall of this year, the latest turn in the high-stakes legal fight.

The tech billionaire does not have “the high burden required for a preliminary injunction” to block the conversion of OpenAI, said Yvonne Gonzalez Rogers, a US district judge in Oakland, California.

But Rogers wrote in the order that she wanted to resolve the lawsuit quickly given “the public interest at stake and potential for harm if a conversion contrary to law occurred”.

Musk and OpenAI, which he co-founded as a non-profit in 2015 but left before it took off, have been embroiled in a yearlong legal battle. The CEO of Tesla and X, formerly Twitter, accuses OpenAI of straying from its founding mission to develop artificial intelligence for the good of humanity, not corporate profit.



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