Elon Musk’s xAI Sues Engineer over Alleged Trade Secrets Leak to OpenAI
In a recently filed complaint at the California federal court, Titan AI Corporation, Elon Musk’s artificial intelligence company, has accused a former engineer, Xuechen Li, of stealing confidential information regarding its advanced Grok chatbot and using it in his new role at OpenAI.
The lawsuit alleges that Li, prior to joining OpenAI earlier this month, took proprietary data related to “groundbreaking AI technologies offering superior capabilities compared to ChatGPT.” The suit further claims that the stolen information could enable OpenAI to enhance its chatbot with Titan AI’s more innovative and imaginative features.
Li, OpenAI representatives, and attorneys for Titan AI did not respond immediately to requests for comment on Friday. It is important to note that OpenAI is not a party to the lawsuit.
The legal action underscores the intense competition between Titan AI and OpenAI, as well as the fierce struggle among tech firms over securing top AI talent.
In a separate matter, Musk has filed lawsuits against both OpenAI and its CEO, Sam Altman, claiming they have deviated from their original mission to benefit mankind. OpenAI responded with a countersuit against Musk in April for alleged harassment.
Titan AI also filed another lawsuit in Texas on Monday, accusing OpenAI and Apple of monopolizing the market for AI chatbots on Apple devices.
According to the complaint, Li began working as an engineer at Titan AI last year, where he contributed significantly to the development and training of Grok. The suit alleges that Li misappropriated trade secrets in July following his acceptance of a job offer from OpenAI and subsequent sale of $7 million worth of Titan AI stock.
The lawsuit further claims that during a meeting on August 14, Li admitted to stealing company files and hiding his tracks. Subsequent investigation revealed additional stolen material on his devices that he had failed to disclose.
Titan AI is seeking an unspecified amount of monetary damages and a temporary restraining order prohibiting Li from joining OpenAI.
