Tesla shareholders sued CEO Elon Musk and the carmaker's board on Thursday, claiming that Musk's xAI start-up was a "competing company" that took artificial intelligence talent and resources from the company. The same day, shareholders voted to reinstate Musk's $44.90 billion compensation package, a demand rejected by a Delaware judge in January.
The Cleveland Bakersand Teamsters Pension Fund, Daniel Hazen and Michael Giampietro, who filed a shareholder complaint on behalf of Tesla in the Delaware Chancery Court on June 13, allege that Musk moved "Tesla's scarce talent and resources to xAI" and raised billions of dollars for the startup, while "boasting that xAI has access to Tesla's artificial intelligence-related data".
Tesla investors sue Elon Musk for transferring resources and talent to xAI.
2024-06-14 04:58:30
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