☕️ Elon Musk Goes for Lawsuit Round #2 Against OpenAI & Microsoft

The week starts with excitement and drama galore as Elon Musk drags OpenAI CEO Sam Altman back into court for allegedly "manipulating" Musk into co-founding the startup. Other key headlines include:

• Nvidia's Blackwell series of GPUs face months of delays due to a design flaw

• OpenAI co-founder John Schulman leaves in favor of AI rival Anthropic, other executives exit or go on sabbatical

• AI chip startup Groq secures $640 million in funding to aid its LPU development process to compete with Nvidia

Join us at AI Tangle as we untangle this week's happenings in AI!

Elon Musk goes for another lawsuit against CEO Sam Altman for "manipulating" him into co-founding OpenAI

CEO of Tesla and xAI, Elon Musk, is once again back at it, suing OpenAI or its executives after having dropped a similar lawsuit a few months ago in June. ​The previous lawsuit, filed in March​, stated that the Microsoft-backed OpenAI and CEO Sam Altman, among others, had abandoned the company's original goal of developing artificial intelligence "for the benefit of humanity broadly" in favor of profit. In this lawsuit, however, Elon's lawyers argue that he was "manipulated" into co-founding OpenAI in the first place.

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What exactly are the allegations and claims?

On the basis of the previous lawsuit, Elon Musk alleges that he was manipulated into co-founding OpenAI under the guise of it being a nonprofit. Musk claims that he was deceived by Sam Altman and OpenAI President Greg Brockman, who later established for-profit affiliates and engaged in self-dealing. It would also seem that Musk isn't satisfied with dragging just Altman and Brockman into this, however, as the lawsuit alleges that Microsoft, OpenAI's biggest backer by far, was also involved in the situation.

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Nvidia's Blackwell series B200 GPUs face agonizing delays due to a design flaw discovered late into production

Much to the dismay of many tech giants, Nvidia's highly awaited Blackwell series of AI chips is facing delays due to design flaws discovered "unusually late in the production process." Nvidia estimates the delay will push back plans by three months or more, impacting large customers like Microsoft, Meta, and xAI, who had ordered tens of billions of dollars worth of the B200 GPUs, according to a report from The Information. As of now, Nvidia is reportedly going through a fresh test set of B200s with TSMC, its chip producer, with no plans to ship large amounts of Blackwell chips until the first quarter.

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OpenAI's headcount dwindles as co-founder John Schulman leaves for AI rival Anthropic

In a surprise post on X/Twitter, one of OpenAI's co-founders, John Schulman, said that he has left ChatGPT-maker OpenAI in favor of Anthropic, a fierce AI rival, which he says would allow him to "return to hands-on technical work." But that's not all to OpenAI's shrinking workforce, as recent product manager hire Peter Dang also exits the company, while OpenAI President Greg Brockman takes a sabbatical through the end of the year.

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Character.ai's co-founders leave the company to join Google DeepMind following an LLM technology licensing deal

Character.AI (c.ai) recently announced a partnership with Google, licensing its large language model (LLM) technology to Google in exchange for increased funding to allow Character.AI to "focus on building personalized AI products for users around the world." On top of that, co-founders Noam Shazeer, who already has experience working at Google, and Daniel De Freitas, along with some other members, will join Google DeepMind. Character.AI, meanwhile, will use Google's funding to continue beefing up its post-training capabilities for "more innovative products."

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OpenAI's AI-generated text watermarking system remains in limbo a year after completion

About a year ago, OpenAI successfully developed a system for watermarking ChatGPT-generated text, yet the company has been indecisive as to whether release it. The watermarking adjusts how the model predicts likely words and phrases, which creates a detectable pattern that could, for example, help teachers identify AI-written material. However, OpenAI is worried about user reactions, as a survey conducted by the company says that almost 30% of users state they would use their software less if it were to be implemented. The company's method is reportedly 99.9% effective and resistant to tampering, but it is wary of potential workarounds.

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AI chip startup Groq gets a $640 million surge of funds to aid LPU development and outreach

​American AI chip startup Groq recently announced a funding round totaling $640 million, putting it at a $2.8 billion valuation, with Blackrock at the helm. On top of that, Meta's chief AI scientist, Yann LeCun, will serve as a technical advisor to Groq, and former head of Intel's foundry business, Stuart Pann, will join as the chief operating officer. The company aims to take a bite out of Nvidia's and other chip bigwigs' market share with its LPUs (language processing units), which it says can run generative AI models at 10x the speed and a tenth of the energy.

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Tencent leads Chinese AI startup Moonshot's recent $300 million funding round

Chinese AI startup Moonshot has secured $300 million in a recent funding round, raising its valuation to $3.3 billion, which has seen major participation from both Tencent and Alibaba alike. Bloomberg's report on the matter says this is greatly in line with Chinense AI companies' ambitions to create its country's answer to OpenAI's ChatGPT. With China leading massively in AI adoption amongst its people in comparison to the US along with patent filing, China's AI industry continues to march on.

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On Speaking To AI (6-min read)

Ethan Mollick, a professor at the Wharton School of the University of Pennsylvania and an avid AI enthusiast, shares his thoughts on speaking to AI after getting access to both the new Siri and ChatGPT Voice mode, where he contrasts the two different philosophies of AI - copilots and agents.

The Future of AI Robotics Starts With Figure 02 (1-min watch)

Figure AI, an AI robotics startup, recently put out a trailer for its latest sci-fi-like AI-powered robot, Figure 02. Powered by OpenAI tech, AI robotics are riding an all-time high hype course.