JAKARTA Elon Musk's artificial intelligence (AI) startup, xAI, has officially sued his former engineer, Xuechen Li, for allegedly stealing trade secrets related to the development of Grok chatbots and taking them to rival company OpenAI.
The lawsuit was filed on Friday, August 29 in California's federal court, United States. In the lawsuit document, xAI accused Li of taking classified information about cutting-edge AI technology which is said to have superior features to ChatGPT. The information is allegedly brought Li to her new workplace at OpenAI in early August.
Li, OpenAI, or xAI's attorneys have not yet made official comments regarding this case. OpenAI itself is not referred to as the defendant in the lawsuit.
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This case is a new chapter in the heated competition between xAI and OpenAI. Elon Musk, who is also one of the founders of OpenAI, has previously sued the company and its CEO, Sam Altman, on charges of having deviated from the company's initial mission to benefit humanity. OpenAI responded by filing a lawsuit in April, accusing Musk of legal harassment.
In addition, earlier this week xAI also filed a separate lawsuit against OpenAI and Apple in Texas, accusing the two of monopolizing the AI chatbot market on Apple devices.
In a recent lawsuit, xAI revealed that Li started working at the company last year and played a role in Grok's training and development. The company accused Li of taking trade secrets in July, shortly after accepting job offers from OpenAI and selling $7 million xAI shares.
According to xAI, Li's trade secrets have the potential to help OpenAI improve ChatGPT with Grok's innovative features. In an internal meeting on August 14, Li is said to have admitted to stealing company files and trying to erase its traces. xAI later discovered more confidential material stored on Li devices that he had never reported.
Through this lawsuit, xAI asked for undetermined compensation and a court order to prohibit Li from joining OpenAI. This case further highlights the fierce competition of the global AI industry, where the struggle for technology talent and innovation is the key to market dominance.
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