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musk-v-altman-openai-complaint-sf.pdf
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musk-v-altman-openai-complaint-sf
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COMPLAINT
IRELL & MANELLA LLP
Morgan Chu (SBN 70446)
Alan Heinrich (SBN 212782)
Iian Jablon (SBN 205458)
Abigail Sellers (SBN 342380)
Justin Koo (SBN 351547)
Henry White (SBN 351549)
1800 Avenue of the Stars, Suite 900
Los Angeles, CA 90067
Telephone: (310) 277-1010
Fax: (310) 203-7199
mchu@irell.com
aheinrich@irell.com
ijablon@irell.com
asellers@irell.com
jkoo@irell.com
hwhite@irell.com
Attorneys for Plaintiff Elon Musk
SUPERIOR COURT OF CALIFORNIA
IN AND FOR THE COUNTY OF SAN FRANCISCO
ELON MUSK, an individual,
Plaintiff,
vs.
SAMUEL ALTMAN, an individual, GREGORY
BROCKMAN, an individual, OPENAI, INC., a
corporation, OPENAI, L.P., a limited
p
artnership, OPENAI, L.L.C., a limited liability
company, OPENAI GP, L.L.C., a limited
liability company, OPENAI OPCO, LLC, a
limited liability company, OPENAI GLOBAL,
LLC, a limited liability company, OAI
CORPORATION, LLC, a limited liability
company, OPENAI HOLDINGS, LLC, a limited
liability company, and DOES 1 through 100,
inclusive,
Defendants.
Case No.:
[UNLIMITED JURISDICTION]
COMPLAINT FOR (1) BREACH OF
CONTRACT, (2) PROMISSORY
ESTOPPEL, (3) BREACH OF FIDUCIARY
DUTY, (4) UNFAIR COMPETITION
UNDER CAL. BUS. & PROF. CODE
§§ 17200 ET SEQ., AND (5) ACCOUNTING
DEMAND FOR JURY TRIAL
ELECTRONICALLY
F I L E D
Superior Court of California,
County of San Francisco
02/29/2024
Clerk of the Court
BY: KEVIN DOUGHERTY
Deputy Clerk
CGC-24-612746
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– 2 –
COMPLAINT
Plaintiff, ELON MUSK (hereafter “Plaintiff”) alleges the following upon information and
belief:
PARTIES
1. Prior to 2019, Plaintiff was an individual residing in California. Plaintiff is a resident
of Texas since 2019.
2. On information and belief, Plaintiff alleges that Samuel Altman is a resident of the
County of San Francisco, State of California.
3. On information and belief, Plaintiff alleges that Gregory Brockman is a resident of
the County of San Francisco, State of California.
4. OpenAI, Inc. is a registered non-profit organization incorporated under the laws of
Delaware on December 8, 2015. OpenAI, Inc. is registered as a foreign corporation with the
California Secretary of State and has its principal place of business at 3180 18
th
Street, San
Francisco, CA 94110.
5. OpenAI, L.P. is a limited partnership formed under the laws of Delaware on
September 19, 2018, originally as SummerSafe, L.P. OpenAI, L.P. is registered as a foreign limited
partnership with the California Secretary of State and has its principal place of business at 3180 18
th
Street, San Francisco, CA 94110.
6. OpenAI, L.L.C. is a limited liability company formed in Delaware on September 17,
2020. OpenAI, L.L.C. maintains its principal place of business in California.
7. OpenAI GP, L.L.C. is a limited liability company formed in Delaware on September
19, 2018. OpenAI GP, L.L.C is registered as a foreign limited liability company registered with the
California Secretary of State and has its principal place of business at 3180 18
th
Street, San
Francisco, CA 94110.
8. OpenAI OpCo, LLC is a limited liability company formed in Delaware on September
19, 2018. OpenAI OpCo, LLC is registered as an out-of-state limited liability company with the
California Secretary of State and has it principal place of business at 1960 Bryant Street, San
Francisco, CA 94110.
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– 3 –
COMPLAINT
9. OpenAI Global, LLC is a limited liability company formed in Delaware on
December 28, 2022. OpenAI Global, LLC is registered as an out-of-state limited liability company
with the California Secretary of State and has it principal place of business at 1960 Bryant Street,
San Francisco, CA 94110.
10. OAI Corporation, LLC is a limited liability company formed in Delaware. OAI
Corporation, LLC maintains its principal place of business in California.
11. OpenAI Holdings, LLC is a limited liability company formed in Delaware on March
17, 2023. OpenAI Holdings, LLC is registered as an out-of-state limited liability company with the
California Secretary of State and has it principal place of business at 1960 Bryant Street, San
Francisco, CA 94110.
12. Hereinafter, “OpenAI, Inc.” is used solely to refer to the non-profit entity or non-
profit arm, while “OpenAI” is used generally to refer to OpenAI, Inc., OpenAI, L.P., OpenAI,
L.L.C., OpenAI GP, L.L.C., OpenAI OpCo, LLC, OpenAI Global, LLC, OAI Corporation, LLC,
and/or OpenAI Holdings, LLC.
13. Plaintiff is currently unaware as to the names and identities of Doe 1 through Doe
100.
JURISDICTION AND VENUE
14. On information and belief, Plaintiff alleges that many of the occurrences,
representations, and events upon which this action is based took place in County of San Francisco,
State of California, where the vast majority of Defendants reside or have their principal place of
business, and the vast majority of the occurrences, representations, and events upon which this
action is based took place in the State of California.
GENERAL ALLEGATIONS
Overview Of The Case
A. The Risk Of Artificial General Intelligence
15. Over the course of the 20th century, the United States gradually shifted from a
primarily human labor-based economy to a primarily human knowledge-based economy, with
economic value increasingly created primarily by human intelligence. As the century progressed,
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– 4 –
COMPLAINT
another paradigm shift was already underway: value creation through artificial intelligence (AI).
Early AI programs were capable of outperforming humans in certain discrete tasks. Almost
immediately after the invention of the programmable computer, AI could show super-human
performance on a highly formalized problem like finding the fastest path through a network of roads.
It took longer for AI to reach superiority for problems requiring more creativity. In 1996, IBM’s
Deep Blue AI program beat Gary Kasparov, the then-world champion in chess. These programs,
while useful, were essentially one-trick-ponies—their intelligence was not general. Deep Blue had
massive arrays of processors that could only play chess. Algorithms for path finding could solve a
maze or route a car, but they could not paint a painting.
16. Starting in the late 2000s and early 2010s, an older algorithm called “deep learning”
became practical to implement on low-cost hardware for the first time. This caused an almost
overnight revolution in performance across nearly all AI projects. New, top of class algorithms were
developed for turning speech into text, translating between languages, and recognizing what kind of
food is shown in a photo. One of the hallmarks of deep learning is that algorithms do not need to be
designed with significant knowledge of the task at hand. They learn each task from training
examples, essentially programming themselves. This means that they are far more general-purpose
than earlier systems like Deep Blue.
17. As deep learning algorithms became increasingly sophisticated, some of the world’s
leading AI researchers set their sights on what has come to be called Artificial General Intelligence
(AGI). The basic concept of AGI is a general purpose artificial intelligence system—a machine
having intelligence for a wide variety of tasks like a human.
18. Mr. Musk has long recognized that AGI poses a grave threat to humanity—perhaps
the greatest existential threat we face today. His concerns mirrored those raised before him by
luminaries like Stephen Hawking and Sun Microsystems founder Bill Joy. Our entire economy is
based around the fact that humans work together and come up with the best solutions to a hard task.
If a machine can solve nearly any task better than we can, that machine becomes more economically
useful than we are. As Mr. Joy warned, with strong AGI, “the future doesn’t need us.” Mr. Musk
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– 5 –
COMPLAINT
publicly called for a variety of measures to address the dangers of AGI, from voluntary moratoria
to regulation, but his calls largely fell on deaf ears.
19. But where some like Mr. Musk see an existential threat in AGI, others see AGI as a
source of profit and power.
20. In 2014, Google acquired DeepMind, a research group focused on deep learning.
One of DeepMind’s initial developments was AlphaZero, a chess playing algorithm. Unlike
previous algorithms, however, AlphaZero used “reinforcement learning,” wherein the program
learns to play chess by playing itself with different versions of the software. It starts by playing
randomly, with no understanding of the game’s strategy. When one version of the software wins a
game against another, the winning program’s internal pathways are “reinforced” and the process
repeats.
21. AlphaZero rapidly became the strongest chess playing system in the world.
Shockingly, it was also announced that the same program was also the strongest in the world for
playing two other extremely difficult games. In Google/DeepMind’s words, “Starting from random
play, and given no domain knowledge except the game rules, AlphaZero achieved within 24 hours
a superhuman level of play in the games of chess and shogi (Japanese chess) as well as Go, and
convincingly defeated a world-champion program in each case.”
22. With the DeepMind team, Google immediately catapulted to the front of the race for
AGI. Mr. Musk was deeply troubled by this development. He believed (and still does) that in the
hands of a closed, for-profit company like Google, AGI poses a particularly acute and noxious
danger to humanity. In 2014, it was already difficult enough to compete with Google in its core
businesses. Google had collected a uniquely large set of data from our searches, our emails, and
nearly every book in our libraries. Nevertheless, up to this point, everyone had the potential to
compete with Google through superior human intelligence and hard work. AGI would make
competition nearly impossible.
B. The Founding Agreement Of OpenAI, Inc.
23. Mr. Altman purported to share Mr. Musk’s concerns over the threat posed by AGI.
In 2015, Mr. Altman wrote that the “[d]evelopment of superhuman machine intelligence (SMI) is
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