In the complaint, lawyers for Musk argue that OpenAI is "actively trying to eliminate competitors" such as xAI by "extracting promises from investors not to fund them." It's also benefitting from Microsoft's investments, infrastructure, and expertise in what Musk's counsel describes as a "de facto" merger.
"xAI has been harmed by, without limitation [by] ... an inability to license OpenAI technology given Microsoft's exclusive license ... and the exclusive exchange between OpenAI and Microsoft of competitively sensitive information."
Hoffman's position on the boards of both Microsoft and OpenAI while also a partner at Greylock, the investment firm, gave Hoffman a privileged - and illicit - view into the companies' dealings, the complaint alleges.
As for Templeton, who Microsoft briefly appointed a non-voting board observer at OpenAI, the amended filing alleges that she was in a position to facilitate agreements between Microsoft and OpenAI that would violate antitrust rules.
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