{"id":163339,"date":"2025-09-27T07:52:14","date_gmt":"2025-09-27T07:52:14","guid":{"rendered":"https:\/\/www.newsbeep.com\/uk\/163339\/"},"modified":"2025-09-27T07:52:14","modified_gmt":"2025-09-27T07:52:14","slug":"elon-musks-xai-accuses-openai-of-stealing-trade-secrets-in-new-lawsuit-technology","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/uk\/163339\/","title":{"rendered":"Elon Musk\u2019s xAI accuses OpenAI of stealing trade secrets in new lawsuit | Technology"},"content":{"rendered":"<p class=\"dcr-130mj7b\"><a href=\"https:\/\/www.theguardian.com\/technology\/elon-musk\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">Elon Musk<\/a>\u2019s artificial intelligence startup xAI has accused rival <a href=\"https:\/\/www.theguardian.com\/technology\/openai\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">OpenAI<\/a> of stealing its trade secrets in a new lawsuit, the latest in Musk\u2019s legal assault on his former business partner, Sam Altman.<\/p>\n<p class=\"dcr-130mj7b\">The lawsuit, filed on Wednesday in <a href=\"https:\/\/www.theguardian.com\/us-news\/california\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">California<\/a> federal court, alleged that OpenAI was engaged in a \u201cdeeply troubling pattern\u201d of hiring away former xAI employees to gain access to trade secrets related to its AI chatbot <a href=\"https:\/\/www.theguardian.com\/technology\/2025\/jul\/14\/elon-musk-grok-ai-chatbot-x-linda-yaccarino\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">Grok<\/a>. The company says OpenAI is pursuing unfair advantages in the race to develop AI technology.<\/p>\n<p class=\"dcr-130mj7b\">\u201cOpenAI is targeting those individuals with knowledge of xAI\u2019s key technologies and business plans, including xAI\u2019s source code and its operational advantages in launching data centers, then inducing those employees to breach their confidentiality and other obligations to xAI through unlawful means,\u201d the lawsuit states.<\/p>\n<p class=\"dcr-130mj7b\">Musk and xAI have launched <a href=\"https:\/\/www.theguardian.com\/technology\/article\/2024\/aug\/05\/elon-musk-openai-lawsuit\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">numerous<\/a> <a href=\"https:\/\/www.theguardian.com\/technology\/2025\/aug\/25\/musk-xai-lawsuit-open-ai-apple\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">lawsuits<\/a> against OpenAI in recent years as part of a longstanding feud between Altman and Musk. The relationship between the two has grown increasingly hostile as Altman and OpenAI\u2019s power in the tech industry has grown, with Musk <a href=\"https:\/\/www.nytimes.com\/2025\/03\/05\/technology\/elon-musk-openai-profit-lawsuit.html\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">previously attempting to block<\/a> the AI startup\u2019s plans to convert to a for-profit enterprise.<\/p>\n<p class=\"dcr-130mj7b\">xAI\u2019s latest complaint claims it discovered the alleged campaign to undermine the company while investigating allegations of trade secret theft against former engineer Xuechen Li, whom it has individually accused of taking confidential information to the <a href=\"https:\/\/www.theguardian.com\/technology\/chatgpt\" data-link-name=\"in body link\" data-component=\"auto-linked-tag\" rel=\"nofollow noopener\" target=\"_blank\">ChatGPT<\/a> maker in a separate lawsuit. Li has not yet responded to the allegations.<\/p>\n<p class=\"dcr-130mj7b\">OpenAI rejected xAI\u2019s allegations and characterized the suit as part of Musk\u2019s attacks against the company.<\/p>\n<p class=\"dcr-130mj7b\">\u201cThis new lawsuit is the latest chapter in Mr Musk\u2019s ongoing harassment. We have no tolerance for any breaches of confidentiality, nor any interest in trade secrets from other labs,\u201d an OpenAI spokesperson said.<\/p>\n<p class=\"dcr-130mj7b\">According to the complaint, OpenAI hired away former company engineer Jimmy Fraiture and an unnamed senior finance executive in addition to Li in order to obtain xAI trade secrets.<\/p>\n<p class=\"dcr-130mj7b\">The lawsuit also <a href=\"https:\/\/www.theinformation.com\/briefings\/xai-sues-openai-allegedly-stealing-trade-secrets?rc=eqevn9\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">included a screenshot of an email<\/a> sent in July by Alex Spiro, Musk and xAI\u2019s lawyer, to a former xAI executive accusing them of breaching their confidentiality obligations. The former employee, whose name is redacted in the screenshot, responded to Spiro with a one-line email that said \u201csuck my dick\u201d.<\/p>\n<p><a data-ignore=\"global-link-styling\" href=\"#EmailSignup-skip-link-10\" class=\"dcr-jzxpee\">skip past newsletter promotion<\/a><\/p>\n<p class=\"dcr-1xjndtj\">A weekly dive in to how technology is shaping our lives<\/p>\n<p>Privacy Notice: Newsletters may contain information about charities, online ads, and content funded by outside parties. If you do not have an account, we will create a guest account for you on <a data-ignore=\"global-link-styling\" href=\"https:\/\/www.theguardian.com\" rel=\"noreferrer nofollow noopener\" class=\"dcr-1rjy2q9\" target=\"_blank\">theguardian.com<\/a> to send you this newsletter. You can complete full registration at any time. For more information about how we use your data see our <a data-ignore=\"global-link-styling\" href=\"https:\/\/www.theguardian.com\/help\/privacy-policy\" rel=\"noreferrer nofollow noopener\" class=\"dcr-1rjy2q9\" target=\"_blank\">Privacy Policy<\/a>. We use Google reCaptcha to protect our website and the Google <a data-ignore=\"global-link-styling\" href=\"https:\/\/policies.google.com\/privacy\" rel=\"noreferrer nofollow noopener\" class=\"dcr-1rjy2q9\" target=\"_blank\">Privacy Policy<\/a> and <a data-ignore=\"global-link-styling\" href=\"https:\/\/policies.google.com\/terms\" rel=\"noreferrer nofollow noopener\" class=\"dcr-1rjy2q9\" target=\"_blank\">Terms of Service<\/a> apply.<\/p>\n<p id=\"EmailSignup-skip-link-10\" tabindex=\"0\" aria-label=\"after newsletter promotion\" role=\"note\" class=\"dcr-jzxpee\">after newsletter promotion<\/p>\n<p class=\"dcr-130mj7b\">Before becoming OpenAI\u2019s legal nemesis, Musk <a href=\"https:\/\/www.theguardian.com\/technology\/2024\/mar\/09\/why-is-elon-musk-suing-sam-altman-openai\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">co-founded the company with Altman<\/a> in 2015, then departed in 2018 after a failed bid for control. Musk has accused Altman of breaking a \u201cfounding agreement\u201d that OpenAI would work for the betterment of humanity, claiming that his pivot to partner with Microsoft and seek profits negates its principles. OpenAI and Altman have said that Musk previously supported a for-profit model and is retaliating out of jealousy.<\/p>\n<p class=\"dcr-130mj7b\">Musk, who is mired in a multitude of lawsuits both as a plaintiff and defendant, also <a href=\"https:\/\/www.theguardian.com\/technology\/2025\/aug\/25\/musk-xai-lawsuit-open-ai-apple\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">sued OpenAI and Apple last month<\/a> over accusations of anti-competitive behavior and Apple favoring ChatGPT in its app store. The suit claimed that his rivals engaged in \u201ca conspiracy to monopolize the markets for smartphones and generative AI chatbots\u201d.<\/p>\n<p class=\"dcr-130mj7b\">Altman posted on X, Musk\u2019s social network, in response: \u201cThis is a remarkable claim given what I have heard alleged that Elon does to manipulate X to benefit himself and his own companies and harm his competitors and people he doesn\u2019t like.\u201d<\/p>\n<p class=\"dcr-130mj7b\">xAI\u2019s new lawsuit is part of a high-stakes competition in Silicon Valley to hire AI-related talent and gain market share in the burgeoning, multibillion-dollar industry. Companies such as Meta <a href=\"https:\/\/www.wired.com\/story\/meta-poaches-openai-researcher-yang-song\/\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">have thrown vast<\/a> <a href=\"https:\/\/www.theguardian.com\/technology\/2025\/jun\/16\/meta-ai-wikipedia-apple-iphone\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">sums of money<\/a> at AI researchers and executives in hopes that it will give them a competitive advantage in the race to build increasingly advanced AI models.<\/p>\n","protected":false},"excerpt":{"rendered":"Elon Musk\u2019s artificial intelligence startup xAI has accused rival OpenAI of stealing its trade secrets in a new&hellip;\n","protected":false},"author":2,"featured_media":163340,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[554,733,4308,86,56,54,55],"class_list":["post-163339","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-technology","tag-uk","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/163339","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=163339"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/163339\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/163340"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=163339"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=163339"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=163339"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}