Tesla and SpaceX CEO Elon Musk‘s decision to open-source the code of xAI’s chatbot Grok was possibly influenced by the ongoing lawsuit with ChatGPT-parent OpenAI, according to Deepwater Asset Management‘s managing partner Doug Clinton.
What Happened: In an episode of DeepTech315 that was posted on Thursday, Clinton discussed the implications of Musk’s decision to open-source Grok with Gene Munster.
During the conversation, he noted Musk’s companies, such as Tesla, have a history of being open and finding ways to monetize their products.
The decision to open-source the code is “not really surprising in two specific contexts,” Clinton said. One was the “lawsuit between Musk and OpenAI” and the “second point, I actually think this is sort of a pattern of behavior for Musk and his companies.”
He went on to say, “You look at Tesla, they opened up all their patents several years ago on the EV front. They’ve now basically partnered with everybody on charging in the EV world. And I think that they’ve kind of had a pattern of being a pretty open company and finding ways to monetize their products by actually being open.”
Clinton then suggested that Musk’s decision to open-source Grok was a statement in response to the lawsuit with OpenAI. “I think he sort of had to do it given the lawsuit with OpenAI to make a statement,” the managing partner said.
Why It Matters: Musk’s decision to open-source Grok has been a topic of much discussion in the tech industry. The move was seen as a direct challenge to OpenAI, a company that Musk co-founded in 2015 and left in 2018.
Musk’s announcement also sparked predictions of significant funding for his AI startup, xAI, as it rapidly advances to become the leading private AI company.
However, Musk’s decision to open-source Grok was not without controversy. It came after a series of public disputes between Musk and OpenAI, including Musk’s criticism of OpenAI for not open-sourcing its AI technology and OpenAI’s dismissal of Musk’s claims regarding the company’s non-profit founding agreement.
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