Musk's xAI is suing OpenAI, alleging that the company induced former xAI employees to steal trade secrets, particularly related to its Grok AI model and data center technology. The suit claims OpenAI's recruitment tactics were part of an unfair campaign to undermine xAI's innovations. An OpenAI spokesperson dismissed the allegations as harassment and denied any wrongdoing.

OpenAI has poached high-level engineers from Tesla and xAI, including Tesla's VP of Software Engineering David Lau, amid an ongoing feud between Elon Musk and OpenAI. This hiring spree is part of OpenAI's efforts to enhance its infrastructure and accelerate its mission in artificial intelligence. Musk is currently suing OpenAI over its shift to a for-profit model and involvement with Microsoft.