Judge rejects Musk’s attempt to block OpenAI’s for-profit transformation
Bloomberg reported that a federal judge in Northern California rejected Elon Musk’s request for an injunction to stop OpenAI’s planned transformation into a for profit company. U.S. District Judge Yvonne Gonzalez Rogers ruled on Tuesday that Musk had not provided enough evidence to support an injunction. Rogers stated that the court was prepared to hold a speedy trial solely on the basis that OpenAI’s plan to convert to a for-profit is illegal. She noted that “irreparable damage is incurred” when public money is used to fund the conversion of a non-profit into a profit.
A few weeks ago Musk made an unsolicited bid to buy OpenAI for $97,4 billion. The offer was unanimously rejected by the board of OpenAI. The bid could cause OpenAI future headaches as it attempts to adopt a conventional corporate structure.
