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A US court has ultimately rejected Elon Musk’s lawsuit against OpenAI over allegations of trade secret theft.

Court in the USA rejected xAI’s case against OpenAI regarding alleged theft of secrets

The federal court in the USA ruled in favor of OpenAI, dismissing Elon Musk’s xAI company’s lawsuit accusing OpenAI of illegally obtaining trade secrets related to the Grok chatbot. The judge closed the case with prejudice, prohibiting further filings.

The court proceedings concerned allegations of misappropriation of confidential information. The xAI company claimed that OpenAI sought to obtain information about the release of the Grok 4 model in 2025 through a presentation conducted by a former xAI employee during an interview. However, the judge noted that xAI failed to prove that OpenAI knowingly received this data or induced former xAI employees to disclose it.

OpenAI dismissed all accusations, stating that they do not need others’ secrets. Company representatives added that Xuechen Li, whom xAI mentioned, did not work at OpenAI, and Musk’s company’s secrets did not reach them. OpenAI lawyers called the lawsuit part of Elon Musk’s “harassment campaign.”

Earlier, in May 2026, a California court also dismissed Elon Musk’s claims against OpenAI. At that time, the jury concluded that Musk could have filed the lawsuit much earlier than it was done and refused to formally consider the issue of changing OpenAI’s mission.

Date Plaintiff Defendant Court Decision
July 2023 xAI OpenAI Case dismissed
May 2026 Elon Musk OpenAI Case dismissed

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