By Anna Tong
San Francisco (Reuters) -The California Attorney's Office overlooked a legal proceedings by Elon Musk against Openai, the agency wrote in a letter that made public on Tuesday, saying the office did not see how Musk's action served the state's public interest.
Musk, co-founder of the ChatGpt maker, is now in an argument with his co-founder Sam Altman, Openai's current Chief Executive, over the future of the company.
Openai wants to remove his not -for -profit board as his control power in exchange for a valuable equity share. A Musk suit argues that this would threaten the mission of the Non -Still and had asked the state to join the legal proceedings.
In the letter dated Monday, the Attorney General said that Musk had not sufficiently shown that doing so would benefit the public and Musk seemed to want to use Openai's charitable assets for his own purposes. In February, a musk -led consortium offered a $ 97 billion unsolicited for Openai management.
In a response letter to the attorney general on Tuesday, Musk's lawyer said the Attorney General had misunderstood Musk's try for Openai, writing that Musk does not want to buy Openai if the not -for -profit structure remains the same.
“People come out of all the political spectrum and oppose Openai's illegal behavior and have planned conversion for profit that negatively affects us all,” Musk's lawyer said in a statement, highlighting that groups including a coalition of Labor and charitable organizations, as well as former OpenAI employees have joined Musk to encourage transfer.
Although the California Attorney's Office has refused to join the Musk Legal Case, it remains part of the issue: as a state nonprofits supervisor, it needs to approve Openai's proposed not -for -profit transmission because Openai is located in California.
Openai has argued that he needs to remove the role of non -Below in order to raise money from investors. To secure a $ 40 billion fundraising round, the company must complete its transfer by the end of the year. The Non -Still will keep a share in Openai which will become increasingly valuable as the company grows, providing resources to fulfill its mission, the company argues.
Musk and Altman Openai co-founded in 2015, but Musk left before the company became a technology star. Last year, Musk, who is also CEO of the Tesla Electricity Carmaker, Openai and Altman, accused Openai of wandering from his establishment mission – to develop AI for the benefit of humanity, not corporate profits.