xAI, Elon Musk's AI venture, has initiated legal action against Xuechen Li, a former engineer, alleging theft of trade secrets related to the Grok chatbot. The lawsuit claims that Li misappropriated confidential information, including data pertaining to AI technologies exceeding ChatGPT's capabilities, before joining OpenAI.
The complaint details how Li purportedly transferred sensitive documents to personal devices and attempted to conceal these actions by renaming and compressing files, as well as deleting browser history. xAI also alleges that Li sold approximately $7 million in xAI stock before his departure. The company seeks to prevent Li from working at OpenAI and recover the allegedly stolen data, citing risks to its competitive position.
Legal proceedings are underway in California, with xAI seeking a restraining order to block Li's move to OpenAI. xAI is asking the court to prevent Li from working at OpenAI or other AI competitors for a temporary period, arguing that the alleged theft could provide unfair advantages and save rivals substantial resources in research and development. The case highlights the intense competition for AI talent and technology among leading tech companies.
