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Judge dismisses xAI trade secrets case against OpenAI.
Transcript
00:00It's Benzinga bringing Wall Street to Main Street.
00:02A federal judge in California dismissed a lawsuit from Elon Musk's artificial intelligence startup
00:08XAI that accused Sam Altman's OpenAI of stealing trade secrets, according to Reuters.
00:14U.S. District Judge Rita Lynn said XAI failed to allege misconduct by OpenAI
00:18and did not present facts showing OpenAI induced former XAI employees to steal source code or use
00:24stolen information. Lynn gave the company until March 17th to amend its complaint.
00:30XAI filed the lawsuit in September and has separately sued a former engineer.
00:34Spokespeople and attorneys for the companies did not immediately respond to requests for
00:39comment on the decision. The case is part of a broader legal dispute between Musk and
00:43Microsoft-backed OpenAI, in which Musk seeks up to $134.5 billion in damages.
00:50OpenAI said in a court filing that the trade secrets case was part of a campaign to harass
00:54a competitor with unfounded legal claims because Grok could not keep up with ChatGPT.
01:00For all things money, visit Benzinga.com.
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