US Judge Dismisses xAI Trade Secrets Lawsuit Against OpenAI

US Judge Dismisses xAI Trade Secrets Lawsuit Against OpenAI

N
News Editor
2026-06-15 16:02:51
A federal judge in San Francisco dismissed xAI’s lawsuit accusing OpenAI of stealing trade secrets, finding that xAI had not shown OpenAI induced former engineer Xuechen Li to misappropriate or disclose its trade secrets.
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Odaily reported that a US federal judge on Monday dismissed a lawsuit filed by Elon Musk’s artificial intelligence company xAI against rival OpenAI. The case accused OpenAI of stealing trade secrets from xAI.

Rita Lin, a judge at the US District Court for the Northern District of California in San Francisco, said xAI failed to show that OpenAI induced former xAI engineer Xuechen Li to misappropriate trade secrets. The court also found that xAI had not shown Li disclosed xAI trade secrets during presentations made while OpenAI was recruiting him.

Judge Rita Lin said allowing xAI to continue the lawsuit would be “futile.” She had previously dismissed an earlier version of the same lawsuit in February this year. The report cited Jinshi as the source.

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