In recent weeks, the AI developed by Elon Musk has posed some problems. We explain everything to you below!
Elon Musk has been controversial for years. But this time it concerns AI.
An AI at the heart of the debates
But what is the reason for this discontent among shareholders and investors of the American company Tesla? In fact, you will see that the latter is quite surprising, but entirely justified. And for good reason, several Tesla shareholders accuse him of having “knowingly diverted talents and resources from the company” for the benefit of his new artificial intelligence company, xAI. This accusation could have significant repercussions on reputation and corporate governance According to a complaint initially viewed by The Verge, shareholders claim that Elon Musk and Tesla’s board breached their fiduciary duties in launching. xAI in 2023. But why? Well, we’ll explain it to you a little further down. In fact, the plaintiffs argue that for years, Musk has sought to transform Tesla into a company more focused on robotics and artificial intelligence, beyond its original image as an automaker.
A theft of resources for the benefit of AI?
This strategy actually contributed to a significant rise in Tesla’s stock price. However, they now allege that this vision was used as a cover to divert valuable resources to xAI. The complaint document states that Musk used his position to channel talent and resources from Tesla to xAI. At the same time, he would have raised billions of dollars to finance xAI, while highlighting this new company’s privileged access to Tesla’s AI data. Furthermore, another report indicates that the businessman ordered that thousands of Nvidia AI chips, initially intended for Tesla, be redirected to X (formerly Twitter). Finally, shareholders also denounce the inaction of Tesla’s board of directors, which they believe allowed Musk to “loot Tesla’s resources and divert them to xAI”. They accuse the board of turning a blind eye to these maneuvers, allowing the creation of billions of dollars of AI-related value at a company other than the manufacturer.
A new affair risks once again tarnishing the image of the American firm!
