Elon Musk sues OpenAI over employee pay and market dominance

Elon Musk has filed a lawsuit against OpenAI, Microsoft, and Reid Hoffman, accusing them of monopolizing the generative AI market through excessive employee compensation. Musk claims OpenAI spends $1.5 billion annually on salaries, with median pay at $534,197. Musk's lawsuit highlights OpenAI's shift from its nonprofit roots to a for-profit model, which he argues prioritizes commercial interests. He initially sued in March 2024, dropped the case in June, and then refiled in August, intensifying his allegations. OpenAI continues to lead the generative AI sector, offering high salaries and job security amid tech industry layoffs. Musk's legal action raises concerns about the ethical implications of OpenAI's rapid growth and its impact on competition.