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Musk has no proof OpenAI stole xAI trade secrets, judge rules, tossing lawsuit

AI-curated by Q²N · Updated February 26, 2026

A judge has dismissed a lawsuit filed by Elon Musk's xAI against OpenAI, ruling that there was insufficient evidence to support claims of trade secret theft. The lawsuit was based on the hiring of former OpenAI employees by xAI, but the judge found that even attempts to interpret communications from an ex-employee did not substantiate the allegations. This ruling highlights the challenges in proving trade secret violations in the tech industry, particularly when it involves hiring practices. The decision may have implications for how companies navigate employee transitions and the sharing of proprietary information.

  • Judge rules against xAI in trade secrets lawsuit.
  • Insufficient evidence to support claims of theft.
  • Former OpenAI employees' hiring not deemed unlawful.
  • Attempts to twist ex-employee texts failed.
  • Ruling impacts tech industry employee transition practices.
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