Elon Musk has sued OpenAI and its chief executive Sam Altman for alleged breach of contract.
The billionaire Tesla and X owner filed a lawsuit against the ChatGPT creator after he helped found the company in 2015.
Through his lawyers, Musk claims they started the non-profit for the "benefit of humanity" and that it's money-making for profit breaks a contractual agreement.
The SpaceX founder stepped down as a board member back in 2018.
Musk has started his own rival, xAI, which he is seeking investors for.
The mogul recently refuted claims he sought $500 million from investors.
Meanwhile, Musk is said to have created a "firestorm" at Tesla with his recent comments about AI technology, according to an expert.
He said he's reluctant to develop AI technology under Tesla's current share structure - and Dan Ives, an analyst at Wedbush Securities, believes it's actually created an issue within the company.
The industry expert wrote: "If Musk ultimately went down the path to create his own company (separate from Tesla) for his next generation AI projects this would clearly be a big negative for the Tesla story."
Ives ultimately expects that the situation will be resolved. But in the short term, he believes it will be unsettling for people at Tesla.
He added: "We also believe Musk having a back and forth about such an important issue over X is far from ideal for the investment community."
Musk had admitted that he feels "uncomfortable" growing AI technology at Tesla under current circumstances.
The CEO of Tesla Motors revealed that the current share structure of the electric car company makes him reluctant to turn it into a "leader in AI and robotics".
In a lengthy post on X, he explained: "I am uncomfortable growing Tesla to be a leader in AI and robotics without having - 25 percent voting control. Enough to be influential, but not so much that I can’t be overturned.
"Unless that is the case, I would prefer to build products outside of Tesla. You don’t seem to understand that Tesla is not one startup, but a dozen. Simply look at the delta between what Tesla does and GM.
"As for stock ownership itself being enough motivation, Fidelity and other own similar stakes to me. Why don’t they show up for work? (sic)"
