DOJ, FTC Back Musk's Antitrust Claims Against OpenAI

The U.S. Department of Justice and Federal Trade Commission have filed a statement of interest in Elon Musk's antitrust lawsuit against OpenAI, arguing that claims regarding interlocking directorates are not moot despite the resignation of board members from competing companies. Musk alleges that OpenAI's transition to a for-profit entity, supported by significant investments from Microsoft, violates federal antitrust laws and undermines its original mission as a nonprofit. The agencies did not fully endorse Musk's claims of collusion between OpenAI and Microsoft but highlighted that prior board memberships could still pose competitive risks. They also noted that an executive's departure from a board does not absolve ongoing concerns under the Clayton Act regarding potential anticompetitive practices. This legal backing may bolster Musk's efforts to block OpenAI's restructuring and seek damages, claiming irreparable harm from their actions. The FTC is separately investigating partnerships in the AI sector, including those involving Microsoft and OpenAI, for potential violations.