Elon Musk slams OpenAI again: ‘Built on a lie. They stole a charity!’ over non-profit status

Tech entrepreneur Elon Musk has taken aim at OpenAI once again, describing the AI research organisation as “built on a lie”.

Elon Musk Slams OpenAI Again

On Saturday, Musk retweeted a post by Helen Toner, a former board member of OpenAI, who shared her candid views on the company. Toner wrote: “Every so often, OpenAI employees ask me how I see the co now. It’s always tough to give a simple answer. Some things they’re doing, eg on CoT monitoring or building out system cards, are great. But the dishonesty & intimidation tactics in their policy work are really not.”

Musk added his own commentary to the post, writing simply: “OpenAI is built on a lie.”

Controversy Over Non-Profit Status

The exchange sparked reactions on X, with one user questioning, “Wasn’t it supposed to be a non-profit?” Musk responded sharply, claiming: “They stole a charity and used it for their own financial gain.”

This marks the latest in a series of public criticisms by Musk, who has long expressed concerns about AI governance and the transparency of organisations like OpenAI.

Musk Criticises Proposed For-Profit Transition

To recall, the Tesla CEO criticised OpenAI last month over reports that the company may be planning to transform its non-profit structure into a for-profit entity, calling such a move “illegal.”

The remarks came in response to claims that OpenAI, the maker of ChatGPT, is considering restructuring its core operations as a for-profit benefit corporation. Reacting on X, Musk stated: “You can’t just convert a non-profit into a for-profit. That is illegal.”

According to to a Bloomberg report, the proposed plan could see OpenAI CEO Sam Altman receive a seven per cent stake in the company as it transitions towards a for-profit model.

OpenAI was established in 2015 as a non-profit organisation focused on AI research. In 2019, it created OpenAI LP, a for-profit subsidiary, which allowed the company to attract investment from Microsoft to fund its development projects.