According to Bloomberg, OpenAI has formally requested a judge to rule that xAI's lawsuit alleging trade secret theft "should never have been filed," and is seeking to have Elon Musk's company cover over $1 million in legal fees. Just hours earlier, xAI had notified the court that it would appeal its repeatedly dismissed claims, indicating that this dispute is likely to continue for several more months.

The lawsuit was dismissed twice, with OpenAI stating that the opposing party had no evidence

In documents submitted, OpenAI's lawyers wrote that xAI "sued OpenAI first and then looked for evidence," forcing OpenAI to spend significant resources defending a broad-based trade secret claim that xAI had no evidence to support. In February, a federal judge in San Francisco initially dismissed xAI's lawsuit, stating that the company failed to prove any misconduct by OpenAI, and only noted that eight former xAI employees had joined OpenAI around the same time.

Afterward, xAI had applied for an extension of six months to strengthen its claims, but was unsuccessful. After submitting a revised complaint in March, Judge Lin Ping of the U.S. District Court again dismissed the lawsuit in June. The judge stated that xAI's new allegations attempted to portray "routine" aspects of the hiring process as malicious acts of inducing trade secret theft, such as accusing OpenAI of asking a new employee to discuss their previous work experience, which is common in normal hiring practices.

Apple's lawsuit just started, while OpenAI is at a critical stage for its IPO