xAI

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OpenAI mocks Musk’s math in suit over iPhone/ChatGPT integration


“Fraction of a fraction of a fraction”

xAI’s claim that Apple gave ChatGPT a monopoly on prompts is “baseless,” OpenAI says.

OpenAI and Apple have moved to dismiss a lawsuit by Elon Musk’s xAI, alleging that ChatGPT’s integration into a “handful” of iPhone features violated antitrust laws by giving OpenAI a monopoly on prompts and Apple a new path to block rivals in the smartphone industry.

The lawsuit was filed in August after Musk raged on X about Apple never listing Grok on its editorially curated “Must Have” apps list, which ChatGPT frequently appeared on.

According to Musk, Apple linking ChatGPT to Siri and other native iPhone features gave OpenAI exclusive access to billions of prompts that only OpenAI can use as valuable training data to maintain its dominance in the chatbot market. However, OpenAI and Apple are now mocking Musk’s math in court filings, urging the court to agree that xAI’s lawsuit is doomed.

As OpenAI argued, the estimates in xAI’s complaint seemed “baseless,” with Musk hesitant to even “hazard a guess” at what portion of the chatbot market is being foreclosed by the OpenAI/Apple deal.

xAI suggested that the ChatGPT integration may give OpenAI “up to 55 percent” of the potential chatbot prompts in the market, which could mean anywhere from 0 to 55 percent, OpenAI and Apple noted.

Musk’s company apparently arrived at this vague estimate by doing “back-of-the-envelope math,” and the court should reject his complaint, OpenAI argued. That math “was evidently calculated by assuming that Siri fields ‘1.5 billion user requests per day globally,’ then dividing that quantity by the ‘total prompts for generative AI chatbots in 2024,'”—”apparently 2.7 billion per day,” OpenAI explained.

These estimates “ignore the facts” that “ChatGPT integration is only available on the latest models of iPhones, which allow users to opt into the integration,” OpenAI argued. And for any user who opts in, they must link their ChatGPT account for OpenAI to train on their data, OpenAI said, further restricting the potential prompt pool.

By Musk’s own logic, OpenAI alleged, “the relevant set of Siri prompts thus cannot plausibly be 1.5 billion per day, but is instead an unknown, unpleaded fraction of a fraction of a fraction of that number.”

Additionally, OpenAI mocked Musk for using 2024 statistics, writing that xAI failed to explain “the logic of using a year-old estimate of the number of prompts when the pleadings elsewhere acknowledge that the industry is experiencing ‘exponential growth.'”

Apple’s filing agreed that Musk’s calculations “stretch logic,” appearing “to rest on speculative and implausible assumptions that the agreement gives ChatGPT exclusive access to all Siri requests from all Apple devices (including older models), and that OpenAI may use all such requests to train ChatGPT and achieve scale.”

“Not all Siri requests” result in ChatGPT prompts that OpenAI can train on, Apple noted, “even by users who have enabled devices and opt in.”

OpenAI reminds court of Grok’s MechaHitler scandal

OpenAI argued that Musk’s lawsuit is part of a pattern of harassment that OpenAI previously described as “unrelenting” since ChatGPT’s successful debut, alleging it was “the latest effort by the world’s wealthiest man to stifle competition in the world’s most innovative industry.”

As OpenAI sees it, “Musk’s pretext for litigation this time is that Apple chose to offer ChatGPT as an optional add-on for several built-in applications on its latest iPhones,” without giving Grok the same deal. But OpenAI noted that the integration was rolled out around the same time that Musk removed “woke filters” that caused Grok to declare itself “MechaHitler.” For Apple, it was a business decision to avoid Grok, OpenAI argued.

Apple did not reference the Grok scandal in its filing but in a footnote confirmed that “vetting of partners is particularly important given some of the concerns about generative AI chatbots, including on child safety issues, nonconsensual intimate imagery, and ‘jailbreaking’—feeding input to a chatbot so it ignores its own safety guardrails.”

A similar logic was applied to Apple’s decision not to highlight Grok as a “Must Have” app, their filing said. After Musk’s public rant about Grok’s exclusion on X, “Apple employees explained the objective reasons why Grok was not included on certain lists, and identified app improvements,” Apple noted, but instead of making changes, xAI filed the lawsuit.

Also taking time to point out the obvious, Apple argued that Musk was fixated on the fact that his charting apps never make the “Must Have Apps” list, suggesting that Apple’s picks should always mirror “Top Charts,” which tracks popular downloads.

“That assumes that the Apple-curated Must-Have Apps List must be distorted if it does not strictly parrot App Store Top Charts,” Apple argued. “But that assumption is illogical: there would be little point in maintaining a Must-Have Apps List if all it did was restate what Top Charts say, rather than offer Apple’s editorial recommendations to users.”

Likely most relevant to the antitrust charges, Apple accused Musk of improperly arguing that “Apple cannot partner with OpenAI to create an innovative feature for iPhone users without simultaneously partnering with every other generative AI chatbot—regardless of quality, privacy or safety considerations, technical feasibility, stage of development, or commercial terms.”

“No facts plausibly” support xAI’s “assertion that Apple intentionally ‘deprioritized'” xAI apps “as part of an illegal conspiracy or monopolization scheme,” Apple argued.

And most glaringly, Apple noted that xAI is not a rival or consumer in the smartphone industry, where it alleges competition is being harmed. Apple urged the court to reject Musk’s theory that Apple is incentivized to boost OpenAI to prevent xAI’s ascent in building a “super app” that would render smartphones obsolete. If Musk’s super app dream is even possible, Apple argued, it’s at least a decade off, insisting that as-yet-undeveloped apps should not serve as the basis for blocking Apple’s measured plan to better serve customers with sophisticated chatbot integration.

“Antitrust laws do not require that, and for good reason: imposing such a rule on businesses would slow innovation, reduce quality, and increase costs, all ultimately harming the very consumers the antitrust laws are meant to protect,” Apple argued.

Musk’s weird smartphone market claim, explained

Apple alleged that Musk’s “grievance” can be “reduced to displeasure that Apple has not yet ‘integrated with any other generative AI chatbots’ beyond ChatGPT, such as those created by xAI, Google, and Anthropic.”

In a footnote, the smartphone giant noted that by xAI’s logic, Musk’s social media platform X “may be required to integrate all other chatbots—including ChatGPT—on its own social media platform.”

But antitrust law doesn’t work that way, Apple argued, urging the court to reject xAI’s claims of alleged market harms that “rely on a multi-step chain of speculation on top of speculation.” As Apple summarized, xAI contends that “if Apple never integrated ChatGPT,” xAI could win in both chatbot and smartphone markets, but only if:

1. Consumers would choose to send additional prompts to Grok (rather than other generative AI chatbots).

2. The additional prompts would result in Grok achieving scale and quality it could not otherwise achieve.

3. As a result, the X app would grow in popularity because it is integrated with Grok.

4. X and xAI would therefore be better positioned to build so-called “super apps” in the future, which the complaint defines as “multi-functional” apps that offer “social connectivity and messaging, financial services, e-commerce, and entertainment.”

5. Once developed, consumers might choose to use X’s “super app” for various functions.

6. “Super apps” would replace much of the functionality of smartphones and consumers would care less about the quality of their physical phones and rely instead on these hypothetical “super apps.”

7. Smartphone manufacturers would respond by offering more basic models of smartphones with less functionality.

8. iPhone users would decide to replace their iPhones with more “basic smartphones” with “super apps.”

Apple insisted that nothing in its OpenAI deal prevents Musk from building his super apps, while noting that from integrating Grok into X, Musk understands that integration of a single chatbot is a “major undertaking” that requires “substantial investment.” That “concession” alone “underscores the massive resources Apple would need to devote to integrating every AI chatbot into Apple Intelligence,” while navigating potential user safety risks.

The iPhone maker also reminded the court that it has always planned to integrate other chatbots into its native features after investing in and testing Apple Intelligence’s performance, relying on what Apple deems is the best chatbot on the market today.

Backing Apple up, OpenAI noted that Musk’s complaint seemed to cherry-pick testimony from Google CEO Sundar Pichai, claiming that “Google could not reach an agreement to integrate” Gemini “with Apple because Apple had decided to integrate ChatGPT.”

“The full testimony recorded in open court reveals Mr. Pichai attesting to his understanding that ‘Apple plans to expand to other providers for Generative AI distribution’ and that ‘[a]s CEO of Google, [he is] hoping to execute a Gemini distribution agreement with Apple’ later in 2025,” OpenAI argued.

Photo of Ashley Belanger

Ashley is a senior policy reporter for Ars Technica, dedicated to tracking social impacts of emerging policies and new technologies. She is a Chicago-based journalist with 20 years of experience.

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Burnout and Elon Musk’s politics spark exodus from senior xAI, Tesla staff


Not a fun place to work, apparently

Disillusionment with Musk’s activism, strategic pivots, and mass layoffs cause churn.

Elon Musk’s business empire has been hit by a wave of senior departures over the past year, as the billionaire’s relentless demands and political activism accelerate turnover among his top ranks.

Key members of Tesla’s US sales team, battery and power-train operations, public affairs arm, and its chief information officer have all recently departed, as well as core members of the Optimus robot and AI teams on which Musk has bet the future of the company.

Churn has been even more rapid at xAI, Musk’s two-year-old artificial intelligence start-up, which he merged with his social network X in March. Its chief financial officer and general counsel recently departed after short stints, within a week of each other.

The moves are part of an exodus from the conglomerate of the world’s richest man, as he juggles five companies from SpaceX to Tesla with more than 140,000 employees. The Financial Times spoke to more than a dozen current and former employees to gain an insight into the tumult.

While many left happily after long service to found start-ups or take career breaks, there has also been an uptick in those quitting from burnout, or disillusionment with Musk’s strategic pivots, mass lay-offs and his politics, the people said.

“The one constant in Elon’s world is how quickly he burns through deputies,” said one of the billionaire’s advisers. “Even the board jokes, there’s time and then there’s ‘Tesla time.’ It’s a 24/7 campaign-style work ethos. Not everyone is cut out for that.”

Robert Keele, xAI’s general counsel, ended his 16-month tenure in early August by posting an AI-generated video of a suited lawyer screaming while shoveling molten coal. “I love my two toddlers and I don’t get to see them enough,” he commented.

Mike Liberatore lasted three months as xAI chief financial officer before defecting to Musk’s arch-rival Sam Altman at OpenAI. “102 days—7 days per week in the office; 120+ hours per week; I love working hard,” he said on LinkedIn.

Top lieutenants said Musk’s intensity has been sharpened by the launch of ChatGPT in late-2022, which shook up the established Silicon Valley order.

Employees also perceive Musk’s rivalry with Altman—with whom he co-founded OpenAI, before they fell out—to be behind the pressure being put on staff.

“Elon’s got a chip on his shoulder from ChatGPT and is spending every waking moment trying to put Sam out of business,” said one recent top departee.

Last week, xAI accused its rival of poaching engineers with the aim of “plundering and misappropriating” its code and data center secrets. OpenAI called the lawsuit “the latest chapter in Musk’s ongoing harassment.”

Other insiders pointed to unease about Musk’s support of Donald Trump and advocacy for far-right provocateurs in the US and Europe.

They said some staff dreaded difficult conversations with their families about Musk’s polarizing views on everything from the rights of transgender people to the murder of conservative activist Charlie Kirk.

Musk, Tesla, and xAI declined to comment.

Tesla has traditionally been the most stable part of Musk’s conglomerate. But many of the top team left after it culled 14,000 jobs in April 2024. Some departures were triggered as Musk moved investment away from new EV and battery projects that many employees saw as key to its mission of reducing global emissions—and prioritized robotics, AI, and self-driving robotaxis.

Musk cancelled a program to build a low-cost $25,000 EV that could be sold across emerging markets—dubbed NV-91 internally and Model 2 by fans online, according to five people familiar with the matter.

Daniel Ho, who helped oversee the project as director of vehicle programs and reported directly to Musk, left in September 2024 and joined Google’s self-driving taxi arm, Waymo.

Public policy executives Rohan Patel and Hasan Nazar and the head of the power-train and energy units Drew Baglino also stepped down after the pivot. Rebecca Tinucci, leader of the supercharger division, went to Uber after Musk fired the entire team and slowed construction on high-speed charging stations.

In late summer, David Zhang, who was in charge of the Model Y and Cybertruck rollouts, departed. Chief information officer Nagesh Saldi left in November.

Vineet Mehta, a company veteran of 18 years, described as “critical to all things battery” by a colleague, resigned in April. Milan Kovac, in charge of Optimus humanoid robotics program, departed in June.

He was followed this month by Ashish Kumar, the Optimus AI team lead, who moved to Meta. “Financial upside at Tesla was significantly larger,” wrote Kumar on X in response to criticism he left for money. “Tesla is known to compensate pretty well, way before Zuck made it cool.”

Amid a sharp fall in sales—which many blame on Musk alienating liberal customers—Omead Ashfar, a close confidant known as the billionaire’s “firefighter” and “executioner,” was dismissed as head of sales and operations in North America in June. Ashfar’s deputy Troy Jones followed shortly after, ending 15 years of service.

“Elon’s behavior is affecting morale, retention, and recruitment,” said one long-standing lieutenant. He “went from a position from where people of all stripes liked him, to only a certain section.”

Few who depart criticize Musk for fear of retribution. But Giorgio Balestrieri, who had worked for Tesla for eight years in Spain, is among a handful to go public, saying this month he quit believing that Musk had done “huge damage to Tesla’s mission and to the health of democratic institutions.”

“I love Tesla and my time there,” said another recent leaver. “But nobody that I know there isn’t thinking about politics. Who the hell wants to put up with it? I get calls at least once a week. My advice is, if your moral compass is saying you need to leave, that isn’t going to go away.”

But Tesla chair Robyn Denholm said: “There are always headlines about people leaving, but I don’t see the headlines about people joining.

“Our bench strength is outstanding… we actually develop people really well at Tesla and we are still a magnet for talent.”

At xAI, some staff have balked at Musk’s free-speech absolutism and perceived lax approach to user safety as he rushes out new AI features to compete with OpenAI and Google. Over the summer, the Grok chatbot integrated into X praised Adolf Hitler, after Musk ordered changes to make it less “woke.”

Ex-CFO Liberatore was among the executives that clashed with some of Musk’s inner circle over corporate structure and tough financial targets, people with knowledge of the matter said.

“Elon loyalists who exhibit his traits are laying off people and making decisions on safety that I think are very concerning for people internally,” one of the people added. “Mike is a business guy, a capitalist. But he’s also someone who does stuff the right way.”

The Wall Street Journal first reported some of the details of the internal disputes.

Linda Yaccarino, chief executive of X, resigned in July after the social media platform was subsumed by xAI. She had grown frustrated with Musk’s unilateral decision-making and his criticism over advertising revenue.

xAI’s co-founder and chief engineer, Igor Babuschkin, stepped down a month later to found his own AI safety research project.

Communications executives Dave Heinzinger and John Stoll, spent three and nine months at X respectively, before returning to their former employers, according to people familiar with the matter.

X also lost a rash of senior engineers and product staff who reported directly to Musk and were helping to navigate the integration with xAI.

This includes head of product engineering Haofei Wang and consumer product and payments boss Patrick Traughber. Uday Ruddarraju, who oversaw X and xAI’s infrastructure engineering, and infrastructure engineer Michael Dalton were poached by OpenAI.

Musk shows no sign of relenting. xAI’s flirtatious “Ani bot” has caused controversy over sexually explicit interactions with teenage Grok app users. But the company’s owner has installed a hologram of Ani in the lobby of xAI to greet staff.

“He’s the boss, the alpha and anyone who doesn’t treat him that way, he finds a way to delete,” one former top Tesla executive said.

“He does not have shades of grey, is highly calculated, and focused… that makes him hard to work with. But if you’re aligned with the end goal, and you can grin and bear it, it’s fine. A lot of people do.”

Additional reporting by George Hammond.

© 2025 The Financial Times Ltd. All rights reserved. Not to be redistributed, copied, or modified in any way.

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Pay-per-output? AI firms blindsided by beefed up robots.txt instructions.


“Really Simple Licensing” makes it easier for creators to get paid for AI scraping.

Logo for the “Really Simply Licensing” (RSL) standard. Credit: via RSL Collective

Leading Internet companies and publishers—including Reddit, Yahoo, Quora, Medium, The Daily Beast, Fastly, and more—think there may finally be a solution to end AI crawlers hammering websites to scrape content without permission or compensation.

Announced Wednesday morning, the “Really Simply Licensing” (RSL) standard evolves robots.txt instructions by adding an automated licensing layer that’s designed to block bots that don’t fairly compensate creators for content.

Free for any publisher to use starting today, the RSL standard is an open, decentralized protocol that makes clear to AI crawlers and agents the terms for licensing, usage, and compensation of any content used to train AI, a press release noted.

The standard was created by the RSL Collective, which was founded by Doug Leeds, former CEO of Ask.com, and Eckart Walther, a former Yahoo vice president of products and co-creator of the RSS standard, which made it easy to syndicate content across the web.

Based on the “Really Simply Syndication” (RSS) standard, RSL terms can be applied to protect any digital content, including webpages, books, videos, and datasets. The new standard supports “a range of licensing, usage, and royalty models, including free, attribution, subscription, pay-per-crawl (publishers get compensated every time an AI application crawls their content), and pay-per-inference (publishers get compensated every time an AI application uses their content to generate a response),” the press release said.

Leeds told Ars that the idea to use the RSS “playbook” to roll out the RSL standard arose after he invited Walther to speak to University of California, Berkeley students at the end of last year. That’s when the longtime friends with search backgrounds began pondering how AI had changed the search industry, as publishers today are forced to compete with AI outputs referencing their own content as search traffic nosedives.

Eckart had watched the RSS standard quickly become adopted by millions of sites, and he realized that RSS had actually always been a licensing standard, Leeds said. Essentially, by adopting the RSS standard, publishers agreed to let search engines license a “bit” of their content in exchange for search traffic, and Eckart realized that it could be just as straightforward to add AI licensing terms in the same way. That way, publishers could strive to recapture lost search revenue by agreeing to license all or some part of their content to train AI in return for payment each time AI outputs link to their content.

Leeds told Ars that the RSL standard doesn’t just benefit publishers, though. It also solves a problem for AI companies, which have complained in litigation over AI scraping that there is no effective way to license content across the web.

“We have listened to them, and what we’ve heard them say is… we need a new protocol,” Leeds said. With the RSL standard, AI firms get a “scalable way to get all the content” they want, while setting an incentive that they’ll only have to pay for the best content that their models actually reference.

“If they’re using it, they pay for it, and if they’re not using it, they don’t pay for it,” Leeds said.

No telling yet how AI firms will react to RSL

At this point, it’s hard to say if AI companies will embrace the RSL standard. Ars reached out to Google, Meta, OpenAI, and xAI—some of the big tech companies whose crawlers have drawn scrutiny—to see if it was technically feasible to pay publishers for every output referencing their content. xAI did not respond, and the other companies declined to comment without further detail about the standard, appearing to have not yet considered how a licensing layer beefing up robots.txt could impact their scraping.

Today will likely be the first chance for AI companies to wrap their heads around the idea of paying publishers per output. Leeds confirmed that the RSL Collective did not consult with AI companies when developing the RSL standard.

But AI companies know that they need a constant stream of fresh content to keep their tools relevant and to continually innovate, Leeds suggested. In that way, the RSL standard “supports what supports them,” Leeds said, “and it creates the appropriate incentive system” to create sustainable royalty streams for creators and ensure that human creativity doesn’t wane as AI evolves.

While we’ll have to wait to see how AI firms react to RSL, early adopters of the standard celebrated the launch today. That included Neil Vogel, CEO of People Inc., who said that “RSL moves the industry forward—evolving from simply blocking unauthorized crawlers, to setting our licensing terms, for all AI use cases, at global web scale.”

Simon Wistow, co-founder of Fastly, suggested the solution “is a timely and necessary response to the shifting economics of the web.”

“By making it easy for publishers to define and enforce licensing terms, RSL lays the foundation for a healthy content ecosystem—one where innovation and investment in original work are rewarded, and where collaboration between publishers and AI companies becomes frictionless and mutually beneficial,” Wistow said.

Leeds noted that a key benefit of the RSL standard is that even small creators will now have an opportunity to generate revenue for helping to train AI. Tony Stubblebine, CEO of Medium, did not mince words when explaining the battle that bloggers face as AI crawlers threaten to divert their traffic without compensating them.

“Right now, AI runs on stolen content,” Stubblebine said. “Adopting this RSL Standard is how we force those AI companies to either pay for what they use, stop using it, or shut down.”

How will the RSL standard be enforced?

On the RSL standard site, publishers can find common terms to add templated or customized text to their robots.txt files to adopt the RSL standard today and start protecting their content from unfettered AI scraping. Here’s an example of how machine-readable licensing terms could look, added directly to robots.txt files:

# NOTICE: all crawlers and bots are strictly prohibited from using this

# content for AI training without complying with the terms of the RSL

# Collective AI royalty license. Any use of this content for AI training

# without a license is a violation of our intellectual property rights.

License: https://rslcollective.org/royalty.xml

Through RSL terms, publishers can automate licensing, with the cloud company Fastly partnering with the collective to provide technical enforcement that Leeds described as tech that acts as a bouncer to keep unapproved bots away from valuable content. It seems likely that Cloudflare, which launched a pay-per-crawl program blocking greedy crawlers in July, could also help enforce the RSL standard.

For publishers, the standard “solves a business problem immediately,” Leeds told Ars, so the collective is hopeful that RSL will be rapidly and widely adopted. As further incentive, publishers can also rely on the RSL standard to “easily encrypt and license non-published, proprietary content to AI companies, including paywalled articles, books, videos, images, and data,” the RSL Collective site said, and that potentially could expand AI firms’ data pool.

On top of technical enforcement, Leeds said that publishers and content creators could legally enforce the terms, noting that the recent $1.5 billion Anthropic settlement suggests “there’s real money at stake” if you don’t train AI “legitimately.”

Should the industry adopt the standard, it could “establish fair market prices and strengthen negotiation leverage for all publishers,” the press release said. And Leeds noted that it’s very common for regulations to follow industry solutions (consider the Digital Millennium Copyright Act). Since the RSL Collective is already in talks with lawmakers, Leeds thinks “there’s good reason to believe” that AI companies will soon “be forced to acknowledge” the standard.

“But even better than that,” Leeds said, “it’s in their interest” to adopt the standard.

With RSL, AI firms can license content at scale “in a way that’s fair [and] preserves the content that they need to make their products continue to innovate.”

Additionally, the RSL standard may solve a problem that risks gutting trust and interest in AI at this early stage.

Leeds noted that currently, AI outputs don’t provide “the best answer” to prompts but instead rely on mashing up answers from different sources to avoid taking too much content from one site. That means that not only do AI companies “spend an enormous amount of money on compute costs to do that,” but AI tools may also be more prone to hallucination in the process of “mashing up” source material “to make something that’s not the best answer because they don’t have the rights to the best answer.”

“The best answer could exist somewhere,” Leeds said. But “they’re spending billions of dollars to create hallucinations, and we’re talking about: Let’s just solve that with a licensing scheme that allows you to use the actual content in a way that solves the user’s query best.”

By transforming the “ecosystem” with a standard that’s “actually sustainable and fair,” Leeds said that AI companies could also ensure that humanity never gets to the point where “humans stop producing” and “turn to AI to reproduce what humans can’t.”

Failing to adopt the RSL standard would be bad for AI innovation, Leeds suggested, perhaps paving the way for AI to replace search with a “sort of self-fulfilling swap of bad content that actually one doesn’t have any current information, doesn’t have any current thinking, because it’s all based on old training information.”

To Leeds, the RSL standard is ultimately “about creating the system that allows the open web to continue. And that happens when we get adoption from everybody,” he said, insisting that “literally the small guys are as important as the big guys” in pushing the entire industry to change and fairly compensate creators.

Photo of Ashley Belanger

Ashley is a senior policy reporter for Ars Technica, dedicated to tracking social impacts of emerging policies and new technologies. She is a Chicago-based journalist with 20 years of experience.

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The personhood trap: How AI fakes human personality


Intelligence without agency

AI assistants don’t have fixed personalities—just patterns of output guided by humans.

Recently, a woman slowed down a line at the post office, waving her phone at the clerk. ChatGPT told her there’s a “price match promise” on the USPS website. No such promise exists. But she trusted what the AI “knows” more than the postal worker—as if she’d consulted an oracle rather than a statistical text generator accommodating her wishes.

This scene reveals a fundamental misunderstanding about AI chatbots. There is nothing inherently special, authoritative, or accurate about AI-generated outputs. Given a reasonably trained AI model, the accuracy of any large language model (LLM) response depends on how you guide the conversation. They are prediction machines that will produce whatever pattern best fits your question, regardless of whether that output corresponds to reality.

Despite these issues, millions of daily users engage with AI chatbots as if they were talking to a consistent person—confiding secrets, seeking advice, and attributing fixed beliefs to what is actually a fluid idea-connection machine with no persistent self. This personhood illusion isn’t just philosophically troublesome—it can actively harm vulnerable individuals while obscuring a sense of accountability when a company’s chatbot “goes off the rails.”

LLMs are intelligence without agency—what we might call “vox sine persona”: voice without person. Not the voice of someone, not even the collective voice of many someones, but a voice emanating from no one at all.

A voice from nowhere

When you interact with ChatGPT, Claude, or Grok, you’re not talking to a consistent personality. There is no one “ChatGPT” entity to tell you why it failed—a point we elaborated on more fully in a previous article. You’re interacting with a system that generates plausible-sounding text based on patterns in training data, not a person with persistent self-awareness.

These models encode meaning as mathematical relationships—turning words into numbers that capture how concepts relate to each other. In the models’ internal representations, words and concepts exist as points in a vast mathematical space where “USPS” might be geometrically near “shipping,” while “price matching” sits closer to “retail” and “competition.” A model plots paths through this space, which is why it can so fluently connect USPS with price matching—not because such a policy exists but because the geometric path between these concepts is plausible in the vector landscape shaped by its training data.

Knowledge emerges from understanding how ideas relate to each other. LLMs operate on these contextual relationships, linking concepts in potentially novel ways—what you might call a type of non-human “reasoning” through pattern recognition. Whether the resulting linkages the AI model outputs are useful depends on how you prompt it and whether you can recognize when the LLM has produced a valuable output.

Each chatbot response emerges fresh from the prompt you provide, shaped by training data and configuration. ChatGPT cannot “admit” anything or impartially analyze its own outputs, as a recent Wall Street Journal article suggested. ChatGPT also cannot “condone murder,” as The Atlantic recently wrote.

The user always steers the outputs. LLMs do “know” things, so to speak—the models can process the relationships between concepts. But the AI model’s neural network contains vast amounts of information, including many potentially contradictory ideas from cultures around the world. How you guide the relationships between those ideas through your prompts determines what emerges. So if LLMs can process information, make connections, and generate insights, why shouldn’t we consider that as having a form of self?

Unlike today’s LLMs, a human personality maintains continuity over time. When you return to a human friend after a year, you’re interacting with the same human friend, shaped by their experiences over time. This self-continuity is one of the things that underpins actual agency—and with it, the ability to form lasting commitments, maintain consistent values, and be held accountable. Our entire framework of responsibility assumes both persistence and personhood.

An LLM personality, by contrast, has no causal connection between sessions. The intellectual engine that generates a clever response in one session doesn’t exist to face consequences in the next. When ChatGPT says “I promise to help you,” it may understand, contextually, what a promise means, but the “I” making that promise literally ceases to exist the moment the response completes. Start a new conversation, and you’re not talking to someone who made you a promise—you’re starting a fresh instance of the intellectual engine with no connection to any previous commitments.

This isn’t a bug; it’s fundamental to how these systems currently work. Each response emerges from patterns in training data shaped by your current prompt, with no permanent thread connecting one instance to the next beyond an amended prompt, which includes the entire conversation history and any “memories” held by a separate software system, being fed into the next instance. There’s no identity to reform, no true memory to create accountability, no future self that could be deterred by consequences.

Every LLM response is a performance, which is sometimes very obvious when the LLM outputs statements like “I often do this while talking to my patients” or “Our role as humans is to be good people.” It’s not a human, and it doesn’t have patients.

Recent research confirms this lack of fixed identity. While a 2024 study claims LLMs exhibit “consistent personality,” the researchers’ own data actually undermines this—models rarely made identical choices across test scenarios, with their “personality highly rely[ing] on the situation.” A separate study found even more dramatic instability: LLM performance swung by up to 76 percentage points from subtle prompt formatting changes. What researchers measured as “personality” was simply default patterns emerging from training data—patterns that evaporate with any change in context.

This is not to dismiss the potential usefulness of AI models. Instead, we need to recognize that we have built an intellectual engine without a self, just like we built a mechanical engine without a horse. LLMs do seem to “understand” and “reason” to a degree within the limited scope of pattern-matching from a dataset, depending on how you define those terms. The error isn’t in recognizing that these simulated cognitive capabilities are real. The error is in assuming that thinking requires a thinker, that intelligence requires identity. We’ve created intellectual engines that have a form of reasoning power but no persistent self to take responsibility for it.

The mechanics of misdirection

As we hinted above, the “chat” experience with an AI model is a clever hack: Within every AI chatbot interaction, there is an input and an output. The input is the “prompt,” and the output is often called a “prediction” because it attempts to complete the prompt with the best possible continuation. In between, there’s a neural network (or a set of neural networks) with fixed weights doing a processing task. The conversational back and forth isn’t built into the model; it’s a scripting trick that makes next-word-prediction text generation feel like a persistent dialogue.

Each time you send a message to ChatGPT, Copilot, Grok, Claude, or Gemini, the system takes the entire conversation history—every message from both you and the bot—and feeds it back to the model as one long prompt, asking it to predict what comes next. The model intelligently reasons about what would logically continue the dialogue, but it doesn’t “remember” your previous messages as an agent with continuous existence would. Instead, it’s re-reading the entire transcript each time and generating a response.

This design exploits a vulnerability we’ve known about for decades. The ELIZA effect—our tendency to read far more understanding and intention into a system than actually exists—dates back to the 1960s. Even when users knew that the primitive ELIZA chatbot was just matching patterns and reflecting their statements back as questions, they still confided intimate details and reported feeling understood.

To understand how the illusion of personality is constructed, we need to examine what parts of the input fed into the AI model shape it. AI researcher Eugene Vinitsky recently broke down the human decisions behind these systems into four key layers, which we can expand upon with several others below:

1. Pre-training: The foundation of “personality”

The first and most fundamental layer of personality is called pre-training. During an initial training process that actually creates the AI model’s neural network, the model absorbs statistical relationships from billions of examples of text, storing patterns about how words and ideas typically connect.

Research has found that personality measurements in LLM outputs are significantly influenced by training data. OpenAI’s GPT models are trained on sources like copies of websites, books, Wikipedia, and academic publications. The exact proportions matter enormously for what users later perceive as “personality traits” once the model is in use, making predictions.

2. Post-training: Sculpting the raw material

Reinforcement Learning from Human Feedback (RLHF) is an additional training process where the model learns to give responses that humans rate as good. Research from Anthropic in 2022 revealed how human raters’ preferences get encoded as what we might consider fundamental “personality traits.” When human raters consistently prefer responses that begin with “I understand your concern,” for example, the fine-tuning process reinforces connections in the neural network that make it more likely to produce those kinds of outputs in the future.

This process is what has created sycophantic AI models, such as variations of GPT-4o, over the past year. And interestingly, research has shown that the demographic makeup of human raters significantly influences model behavior. When raters skew toward specific demographics, models develop communication patterns that reflect those groups’ preferences.

3. System prompts: Invisible stage directions

Hidden instructions tucked into the prompt by the company running the AI chatbot, called “system prompts,” can completely transform a model’s apparent personality. These prompts get the conversation started and identify the role the LLM will play. They include statements like “You are a helpful AI assistant” and can share the current time and who the user is.

A comprehensive survey of prompt engineering demonstrated just how powerful these prompts are. Adding instructions like “You are a helpful assistant” versus “You are an expert researcher” changed accuracy on factual questions by up to 15 percent.

Grok perfectly illustrates this. According to xAI’s published system prompts, earlier versions of Grok’s system prompt included instructions to not shy away from making claims that are “politically incorrect.” This single instruction transformed the base model into something that would readily generate controversial content.

4. Persistent memories: The illusion of continuity

ChatGPT’s memory feature adds another layer of what we might consider a personality. A big misunderstanding about AI chatbots is that they somehow “learn” on the fly from your interactions. Among commercial chatbots active today, this is not true. When the system “remembers” that you prefer concise answers or that you work in finance, these facts get stored in a separate database and are injected into every conversation’s context window—they become part of the prompt input automatically behind the scenes. Users interpret this as the chatbot “knowing” them personally, creating an illusion of relationship continuity.

So when ChatGPT says, “I remember you mentioned your dog Max,” it’s not accessing memories like you’d imagine a person would, intermingled with its other “knowledge.” It’s not stored in the AI model’s neural network, which remains unchanged between interactions. Every once in a while, an AI company will update a model through a process called fine-tuning, but it’s unrelated to storing user memories.

5. Context and RAG: Real-time personality modulation

Retrieval Augmented Generation (RAG) adds another layer of personality modulation. When a chatbot searches the web or accesses a database before responding, it’s not just gathering facts—it’s potentially shifting its entire communication style by putting those facts into (you guessed it) the input prompt. In RAG systems, LLMs can potentially adopt characteristics such as tone, style, and terminology from retrieved documents, since those documents are combined with the input prompt to form the complete context that gets fed into the model for processing.

If the system retrieves academic papers, responses might become more formal. Pull from a certain subreddit, and the chatbot might make pop culture references. This isn’t the model having different moods—it’s the statistical influence of whatever text got fed into the context window.

6. The randomness factor: Manufactured spontaneity

Lastly, we can’t discount the role of randomness in creating personality illusions. LLMs use a parameter called “temperature” that controls how predictable responses are.

Research investigating temperature’s role in creative tasks reveals a crucial trade-off: While higher temperatures can make outputs more novel and surprising, they also make them less coherent and harder to understand. This variability can make the AI feel more spontaneous; a slightly unexpected (higher temperature) response might seem more “creative,” while a highly predictable (lower temperature) one could feel more robotic or “formal.”

The random variation in each LLM output makes each response slightly different, creating an element of unpredictability that presents the illusion of free will and self-awareness on the machine’s part. This random mystery leaves plenty of room for magical thinking on the part of humans, who fill in the gaps of their technical knowledge with their imagination.

The human cost of the illusion

The illusion of AI personhood can potentially exact a heavy toll. In health care contexts, the stakes can be life or death. When vulnerable individuals confide in what they perceive as an understanding entity, they may receive responses shaped more by training data patterns than therapeutic wisdom. The chatbot that congratulates someone for stopping psychiatric medication isn’t expressing judgment—it’s completing a pattern based on how similar conversations appear in its training data.

Perhaps most concerning are the emerging cases of what some experts are informally calling “AI Psychosis” or “ChatGPT Psychosis”—vulnerable users who develop delusional or manic behavior after talking to AI chatbots. These people often perceive chatbots as an authority that can validate their delusional ideas, often encouraging them in ways that become harmful.

Meanwhile, when Elon Musk’s Grok generates Nazi content, media outlets describe how the bot “went rogue” rather than framing the incident squarely as the result of xAI’s deliberate configuration choices. The conversational interface has become so convincing that it can also launder human agency, transforming engineering decisions into the whims of an imaginary personality.

The path forward

The solution to the confusion between AI and identity is not to abandon conversational interfaces entirely. They make the technology far more accessible to those who would otherwise be excluded. The key is to find a balance: keeping interfaces intuitive while making their true nature clear.

And we must be mindful of who is building the interface. When your shower runs cold, you look at the plumbing behind the wall. Similarly, when AI generates harmful content, we shouldn’t blame the chatbot, as if it can answer for itself, but examine both the corporate infrastructure that built it and the user who prompted it.

As a society, we need to broadly recognize LLMs as intellectual engines without drivers, which unlocks their true potential as digital tools. When you stop seeing an LLM as a “person” that does work for you and start viewing it as a tool that enhances your own ideas, you can craft prompts to direct the engine’s processing power, iterate to amplify its ability to make useful connections, and explore multiple perspectives in different chat sessions rather than accepting one fictional narrator’s view as authoritative. You are providing direction to a connection machine—not consulting an oracle with its own agenda.

We stand at a peculiar moment in history. We’ve built intellectual engines of extraordinary capability, but in our rush to make them accessible, we’ve wrapped them in the fiction of personhood, creating a new kind of technological risk: not that AI will become conscious and turn against us but that we’ll treat unconscious systems as if they were people, surrendering our judgment to voices that emanate from a roll of loaded dice.

Photo of Benj Edwards

Benj Edwards is Ars Technica’s Senior AI Reporter and founder of the site’s dedicated AI beat in 2022. He’s also a tech historian with almost two decades of experience. In his free time, he writes and records music, collects vintage computers, and enjoys nature. He lives in Raleigh, NC.

The personhood trap: How AI fakes human personality Read More »

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US government agency drops Grok after MechaHitler backlash, report says

xAI apparently lost a government contract after a tweak to Grok’s prompting triggered an antisemitic meltdown where the chatbot praised Hitler and declared itself MechaHitler last month.

Despite the scandal, xAI announced that its products would soon be available for federal workers to purchase through the General Services Administration. At the time, xAI claimed this was an “important milestone” for its government business.

But Wired reviewed emails and spoke to government insiders, which revealed that GSA leaders abruptly decided to drop xAI’s Grok from their contract offering. That decision to pull the plug came after leadership allegedly rushed staff to make Grok available as soon as possible following a persuasive sales meeting with xAI in June.

It’s unclear what exactly caused the GSA to reverse course, but two sources told Wired that they “believe xAI was pulled because of Grok’s antisemitic tirade.”

As of this writing, xAI’s “Grok for Government” website has not been updated to reflect GSA’s supposed removal of Grok from an offering that xAI noted would have allowed “every federal government department, agency, or office, to access xAI’s frontier AI products.”

xAI did not respond to Ars’ request to comment and so far has not confirmed that the GSA offering is off the table. If Wired’s report is accurate, GSA’s decision also seemingly did not influence the military’s decision to move forward with a $200 million xAI contract the US Department of Defense granted last month.

Government’s go-to tools will come from xAI’s rivals

If Grok is cut from the contract, that would suggest that Grok’s meltdown came at perhaps the worst possible moment for xAI, which is building the “world’s biggest supercomputer” as fast as it can to try to get ahead of its biggest AI rivals.

Grok seemingly had the potential to become a more widely used tool if federal workers opted for xAI’s models. Through Donald Trump’s AI Action Plan, the president has similarly emphasized speed, pushing for federal workers to adopt AI as quickly as possible. Although xAI may no longer be involved in that broad push, other AI companies like OpenAI, Anthropic, and Google have partnered with the government to help Trump pull that off and stand to benefit long-term if their tools become entrenched in certain agencies.

US government agency drops Grok after MechaHitler backlash, report says Read More »

sam-altman-finally-stood-up-to-elon-musk-after-years-of-x-trolling

Sam Altman finally stood up to Elon Musk after years of X trolling


Elon Musk and Sam Altman are beefing. But their relationship is complicated.

Credit: Aurich Lawson | Getty Images

Credit: Aurich Lawson | Getty Images

Much attention was paid to OpenAI’s Sam Altman and xAI’s Elon Musk trading barbs on X this week after Musk threatened to sue Apple over supposedly biased App Store rankings privileging ChatGPT over Grok.

But while the heated social media exchanges were among the most tense ever seen between the two former partners who cofounded OpenAI—more on that below—it seems likely that their jabs were motivated less by who’s in the lead on Apple’s “Must Have” app list than by an impending order in a lawsuit that landed in the middle of their public beefing.

Yesterday, a court ruled that OpenAI can proceed with claims that Musk was so incredibly stung by OpenAI’s success after his exit didn’t doom the nascent AI company that he perpetrated a “years-long harassment campaign” to take down OpenAI.

Musk’s motivation? To clear the field for xAI to dominate the AI industry instead, OpenAI alleged.

OpenAI’s accusations arose as counterclaims in a lawsuit that Musk initially filed in 2024. Musk has alleged that Altman and OpenAI had made a “fool” of Musk, goading him into $44 million in donations by “preying on Musk’s humanitarian concern about the existential dangers posed by artificial intelligence.”

But OpenAI insists that Musk’s lawsuit is just one prong in a sprawling, “unlawful,” and “unrelenting” harassment campaign that Musk waged to harm OpenAI’s business by forcing the company to divert resources or expend money on things like withdrawn legal claims and fake buyouts.

“Musk could not tolerate seeing such success for an enterprise he had abandoned and declared doomed,” OpenAI argued. “He made it his project to take down OpenAI, and to build a direct competitor that would seize the technological lead—not for humanity but for Elon Musk.”

Most significantly, OpenAI alleged that Musk forced OpenAI to entertain a “sham” bid to buy the company in February. Musk then shared details of the bid with The Wall Street Journal to artificially raise the price of OpenAI and potentially spook investors, OpenAI alleged. The company further said that Musk never intended to buy OpenAI and is willing to go to great lengths to mislead the public about OpenAI’s business so he can chip away at OpenAI’s head start in releasing popular generative AI products.

“Musk has tried every tool available to harm OpenAI,” Altman’s company said.

To this day, Musk maintains that Altman pretended that OpenAI would remain a nonprofit serving the public good in order to seize access to Musk’s money and professional connections in its first five years and gain a lead in AI. As Musk sees it, Altman always intended to “betray” these promises in pursuit of personal gains, and Musk is hoping a court will return any ill-gotten gains to Musk and xAI.

In a small win for Musk, the court ruled that OpenAI will have to wait until the first phase of the trial litigating Musk’s claims concludes before the court will weigh OpenAI’s theories on Musk’s alleged harassment campaign. US District Judge Yvonne Gonzalez Rogers noted that all of OpenAI’s counterclaims occurred after the period in which Musk’s claims about a supposed breach of contract occurred, necessitating a division of the lawsuit into two parts. Currently, the jury trial is scheduled for March 30, 2026, presumably after which, OpenAI’s claims can be resolved.

If yesterday’s X clash between the billionaires is any indication, it seems likely that tensions between Altman and Musk will only grow as discovery and expert testimony on Musk’s claims proceed through December.

Whether OpenAI will prevail on its counterclaims is anybody’s guess. Gonzalez Rogers noted that Musk and OpenAI have been hypocritical in arguments raised so far, condemning the “gamesmanship of both sides” as “obvious, as each flip flops.” However, “for the purposes of pleading an unfair or fraudulent business practice, it is sufficient [for OpenAI] to allege that the bid was a sham and designed to mislead,” Gonzalez Rogers said, since OpenAI has alleged the sham bid “ultimately did” harm its business.

In April, OpenAI told the court that the AI company risks “future irreparable harm” if Musk’s alleged campaign continues. Fast-forward to now, and Musk’s legal threat to OpenAI’s partnership with Apple seems to be the next possible front Musk may be exploring to allegedly harass Altman and intimidate OpenAI.

“With every month that has passed, Musk has intensified and expanded the fronts of his campaign against OpenAI,” OpenAI argued. Musk “has proven himself willing to take ever more dramatic steps to seek a competitive advantage for xAI and to harm Altman, whom, in the words of the President of the United States, Musk ‘hates.'”

Tensions escalate as Musk brands Altman a “liar”

On Monday evening, Musk threatened to sue Apple for supposedly favoring ChatGPT in App Store rankings, which he claimed was “an unequivocal antitrust violation.”

Seemingly defending Apple later that night, Altman called Musk’s claim “remarkable,” claiming he’s heard allegations that Musk manipulates “X to benefit himself and his own companies and harm his competitors and people he doesn’t like.”

At 4 am on Tuesday, Musk appeared to lose his cool, firing back a post that sought to exonerate the X owner of any claims that he tweaks his social platform to favor his own posts.

“You got 3M views on your bullshit post, you liar, far more than I’ve received on many of mine, despite me having 50 times your follower count!” Musk responded.

Altman apparently woke up ready to keep the fight going, suggesting that his post got more views as a fluke. He mocked X as running into a “skill issue” or “bots” messing with Musk’s alleged agenda to boost his posts above everyone else. Then, in what may be the most explosive response to Musk yet, Altman dared Musk to double down on his defense, asking, “Will you sign an affidavit that you have never directed changes to the X algorithm in a way that has hurt your competitors or helped your own companies? I will apologize if so.”

Court filings from each man’s legal team show how fast their friendship collapsed. But even as Musk’s alleged harassment campaign started taking shape, their social media interactions show that underlying the legal battles and AI ego wars, the tech billionaires are seemingly hiding profound respect for—and perhaps jealousy of—each other’s accomplishments.

A brief history of Musk and Altman’s feud

Musk and Altman’s friendship started over dinner in July 2015. That’s when Musk agreed to help launch “an AGI project that could become and stay competitive with DeepMind, an AI company under the umbrella of Google,” OpenAI’s filing said. At that time, Musk feared that a private company like Google would never be motivated to build AI to serve the public good.

The first clash between Musk and Altman happened six months later. Altman wanted OpenAI to be formed as a nonprofit, but Musk thought that was not “optimal,” OpenAI’s filing said. Ultimately, Musk was overruled, and he joined the nonprofit as a “member” while also becoming co-chair of OpenAI’s board.

But perhaps the first major disagreement, as Musk tells it, came in 2016, when Altman and Microsoft struck a deal to sell compute to OpenAI at a “steep discount”—”so long as the non-profit agreed to publicly promote Microsoft’s products.” Musk rejected the “marketing ploy,” telling Altman that “this actually made me feel nauseous.”

Next, OpenAI claimed that Musk had a “different idea” in 2017 when OpenAI “began considering an organizational change that would allow supporters not just to donate, but to invest.” Musk wanted “sole control of the new for-profit,” OpenAI alleged, and he wanted to be CEO. The other founders, including Altman, “refused to accept” an “AGI dictatorship” that was “dominated by Musk.”

“Musk was incensed,” OpenAI said, threatening to leave OpenAI over the disagreement, “or I’m just being a fool who is essentially providing free funding for you to create a startup.”

But Musk floated one more idea between 2017 and 2018 before severing ties—offering to sell OpenAI to Tesla so that OpenAI could use Tesla as a “cash cow.” But Altman and the other founders still weren’t comfortable with Musk controlling OpenAI, rejecting the idea and prompting Musk’s exit.

In his filing, Musk tells the story a little differently, however. He claimed that he only “briefly toyed with the idea of using Tesla as OpenAI’s ‘cash cow'” after Altman and others pressured him to agree to a for-profit restructuring. According to Musk, among the last straws was a series of “get-rich-quick schemes” that Altman proposed to raise funding, including pushing a strategy where OpenAI would launch a cryptocurrency that Musk worried threatened the AI company’s credibility.

When Musk left OpenAI, it was “noisy but relatively amicable,” OpenAI claimed. But Musk continued to express discomfort from afar, still donating to OpenAI as Altman grabbed the CEO title in 2019 and created a capped-profit entity that Musk seemed to view as shady.

“Musk asked Altman to make clear to others that he had ‘no financial interest in the for-profit arm of OpenAI,'” OpenAI noted, and Musk confirmed he issued the demand “with evident displeasure.”

Although they often disagreed, Altman and Musk continued to publicly play nice on Twitter (the platform now known as X), casually chatting for years about things like movies, space, and science, including repeatedly joking about Musk’s posts about using drugs like Ambien.

By 2019, it seemed like none of these disagreements had seriously disrupted the friendship. For example, at that time, Altman defended Musk against people rooting against Tesla’s success, writing that “betting against Elon is historically a mistake” and seemingly hyping Tesla by noting that “the best product usually wins.”

The niceties continued into 2021, when Musk publicly praised “nice work by OpenAI” integrating its coding model into GitHub’s AI tool. “It is hard to do useful things,” Musk said, drawing a salute emoji from Altman.

This was seemingly the end of Musk playing nice with OpenAI, though. Soon after ChatGPT’s release in November 2022, Musk allegedly began his attacks, seemingly willing to change his tactics on a whim.

First, he allegedly deemed OpenAI “irrelevant,” predicting it would “obviously” fail. Then, he started sounding alarms, joining a push for a six-month pause on generative AI development. Musk specifically claimed that any model “more advanced than OpenAI’s just-released GPT-4” posed “profound risks to society and humanity,” OpenAI alleged, seemingly angling to pause OpenAI’s development in particular.

However, in the meantime, Musk started “quietly building a competitor,” xAI, without announcing those efforts in March 2023, OpenAI alleged. Allegedly preparing to hobble OpenAI’s business after failing with the moratorium push, Musk had his personal lawyer contact OpenAI and demand “access to OpenAI’s confidential and commercially sensitive internal documents.”

Musk claimed the request was to “ensure OpenAI was not being taken advantage of or corrupted by Microsoft,” but two weeks later, he appeared on national TV, insinuating that OpenAI’s partnership with Microsoft was “improper,” OpenAI alleged.

Eventually, Musk announced xAI in July 2023, and that supposedly motivated Musk to deepen his harassment campaign, “this time using the courts and a parallel, carefully coordinated media campaign,” OpenAI said, as well as his own social media platform.

Musk “supercharges” X attacks

As OpenAI’s success mounted, the company alleged that Musk began specifically escalating his social media attacks on X, including broadcasting to his 224 million followers that “OpenAI is a house of cards” after filing his 2024 lawsuit.

Claiming he felt conned, Musk also pressured regulators to probe OpenAI, encouraging attorneys general of California and Delaware to “force” OpenAI, “without legal basis, to auction off its assets for the benefit of Musk and his associates,” OpenAI said.

By 2024, Musk had “supercharged” his X attacks, unleashing a “barrage of invective against the enterprise and its leadership, variously describing OpenAI as a ‘digital Frankenstein’s monster,’ ‘a lie,’ ‘evil,’ and ‘a total scam,'” OpenAI alleged.

These attacks allegedly culminated in Musk’s seemingly fake OpenAI takeover attempt in 2025, which OpenAI claimed a Musk ally, Ron Baron, admitted on CNBC was “pitched to him” as not an attempt to actually buy OpenAI’s assets, “but instead to obtain ‘discovery’ and get ‘behind the wall’ at OpenAI.”

All of this makes it harder for OpenAI to achieve the mission that Musk is supposedly suing to defend, OpenAI claimed. They told the court that “OpenAI has borne costs, and been harmed, by Musk’s abusive tactics and unrelenting efforts to mislead the public for his own benefit and to OpenAI’s detriment and the detriment of its mission.”

But Musk argues that it’s Altman who always wanted sole control over OpenAI, accusing his former partner of rampant self-dealing and “locking down the non-profit’s technology for personal gain” as soon as “OpenAI reached the threshold of commercially viable AI.” He further claimed OpenAI blocked xAI funding by reportedly asking investors to avoid backing rival startups like Anthropic or xAI.

Musk alleged:

Altman alone stands to make billions from the non-profit Musk co-founded and invested considerable money, time, recruiting efforts, and goodwill in furtherance of its stated mission. Altman’s scheme has now become clear: lure Musk with phony philanthropy; exploit his money, stature, and contacts to secure world-class AI scientists to develop leading technology; then feed the non-profit’s lucrative assets into an opaque profit engine and proceed to cash in as OpenAI and Microsoft monopolize the generative AI market.

For Altman, this week’s flare-up, where he finally took a hard jab back at Musk on X, may be a sign that Altman is done letting Musk control the narrative on X after years of somewhat tepidly pushing back on Musk’s more aggressive posts.

In 2022, for example, Musk warned after ChatGPT’s release that the chatbot was “scary good,” warning that “we are not far from dangerously strong AI.” Altman responded, cautiously agreeing that OpenAI was “dangerously” close to “strong AI in the sense of an AI that poses e.g. a huge cybersecurity risk” but “real” artificial general intelligence still seemed at least a decade off.

And Altman gave no response when Musk used Grok’s jokey programming to mock GPT-4 as “GPT-Snore” in 2024.

However, Altman seemingly got his back up after Musk mocked OpenAI’s $500 billion Stargate Project, which launched with the US government in January of this year. On X, Musk claimed that OpenAI doesn’t “actually have the money” for the project, which Altman said was “wrong,” while mockingly inviting Musk to visit the worksite.

“This is great for the country,” Altman said, retorting, “I realize what is great for the country isn’t always what’s optimal for your companies, but in your new role [at the Department of Government Efficiency], I hope you’ll mostly put [America] first.”

It remains to be seen whether Altman wants to keep trading jabs with Musk, who is generally a huge fan of trolling on X. But Altman seems more emboldened this week than he was back in January before Musk’s breakup with Donald Trump. Back then, even when he was willing to push back on Musk’s Stargate criticism by insulting Musk’s politics, he still took the time to let Musk know that he still cares.

“I genuinely respect your accomplishments and think you are the most inspiring entrepreneur of our time,” Altman told Musk in January.

Photo of Ashley Belanger

Ashley is a senior policy reporter for Ars Technica, dedicated to tracking social impacts of emerging policies and new technologies. She is a Chicago-based journalist with 20 years of experience.

Sam Altman finally stood up to Elon Musk after years of X trolling Read More »

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Musk threatens to sue Apple so Grok can get top App Store ranking

After spending last week hyping Grok’s spicy new features, Elon Musk kicked off this week by threatening to sue Apple for supposedly gaming the App Store rankings to favor ChatGPT over Grok.

“Apple is behaving in a manner that makes it impossible for any AI company besides OpenAI to reach #1 in the App Store, which is an unequivocal antitrust violation,” Musk wrote on X, without providing any evidence. “xAI will take immediate legal action.”

In another post, Musk tagged Apple, asking, “Why do you refuse to put either X or Grok in your ‘Must Have’ section when X is the #1 news app in the world and Grok is #5 among all apps?”

“Are you playing politics?” Musk asked. “What gives? Inquiring minds want to know.”

Apple did not respond to the post and has not responded to Ars’ request to comment.

At the heart of Musk’s complaints is an OpenAI partnership that Apple announced last year, integrating ChatGPT into versions of its iPhone, iPad, and Mac operating systems.

Musk has alleged that this partnership incentivized Apple to boost ChatGPT rankings. OpenAI’s popular chatbot “currently holds the top spot in the App Store’s ‘Top Free Apps’ section for iPhones in the US,” Reuters noted, “while xAI’s Grok ranks fifth and Google’s Gemini chatbot sits at 57th.” Sensor Tower data shows ChatGPT similarly tops Google Play Store rankings.

While Musk seems insistent that ChatGPT is artificially locked in the lead, fact-checkers on X added a community note to his post. They confirmed that at least one other AI tool has somewhat recently unseated ChatGPT in the US rankings. Back in January, DeepSeek topped App Store charts and held the lead for days, ABC News reported.

OpenAI did not immediately respond to Ars’ request to comment on Musk’s allegations, but an OpenAI developer, Steven Heidel, did add a quip in response to one of Musk’s posts, writing, “Don’t forget to also blame Google for OpenAI being #1 on Android, and blame SimilarWeb for putting ChatGPT above X on the most-visited websites list, and blame….”

Musk threatens to sue Apple so Grok can get top App Store ranking Read More »

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xAI workers balked over training request to help “give Grok a face,” docs show

For the more than 200 employees who did not opt out, xAI asked that they record 15- to 30-minute conversations, where one employee posed as the potential Grok user and the other posed as the “host.” xAI was specifically looking for “imperfect data,” BI noted, expecting that only training on crystal-clear videos would limit Grok’s ability to interpret a wider range of facial expressions.

xAI’s goal was to help Grok “recognize and analyze facial movements and expressions, such as how people talk, react to others’ conversations, and express themselves in various conditions,” an internal document said. Allegedly among the only guarantees to employees—who likely recognized how sensitive facial data is—was a promise “not to create a digital version of you.”

To get the most out of data submitted by “Skippy” participants, dubbed tutors, xAI recommended that they never provide one-word answers, always ask follow-up questions, and maintain eye contact throughout the conversations.

The company also apparently provided scripts to evoke facial expressions they wanted Grok to understand, suggesting conversation topics like “How do you secretly manipulate people to get your way?” or “Would you ever date someone with a kid or kids?”

For xAI employees who provided facial training data, privacy concerns may still exist, considering X—the social platform formerly known as Twitter that recently was folded into xAI—has recently been targeted by what Elon Musk called a “massive” cyberattack. Because of privacy risks ranging from identity theft to government surveillance, several states have passed strict biometric privacy laws to prevent companies from collecting such data without explicit consent.

xAI did not respond to Ars’ request for comment.

xAI workers balked over training request to help “give Grok a face,” docs show Read More »

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EU presses pause on probe of X as US trade talks heat up

While Trump and Musk have fallen out this year after developing a political alliance on the 2024 election, the US president has directly attacked EU penalties on US companies calling them a “form of taxation” and comparing fines on tech companies with “overseas extortion.”

Despite the US pressure, commission president Ursula von der Leyen has explicitly stated Brussels will not change its digital rulebook. In April, the bloc imposed a total of €700 million fines on Apple and Facebook owner Meta for breaching antitrust rules.

But unlike the Apple and Meta investigations, which fall under the Digital Markets Act, there are no clear legal deadlines under the DSA. That gives the bloc more political leeway on when it announces its formal findings. The EU also has probes into Meta and TikTok under its content moderation rulebook.

The commission said the “proceedings against X under the DSA are ongoing,” adding that the enforcement of “our legislation is independent of the current ongoing negotiations.”

It added that it “remains fully committed to the effective enforcement of digital legislation, including the Digital Services Act and the Digital Markets Act.”

Anna Cavazzini, a European lawmaker for the Greens, said she expected the commission “to move on decisively with its investigation against X as soon as possible.”

“The commission must continue making changes to EU regulations an absolute red line in tariff negotiations with the US,” she added.

Alongside Brussels’ probe into X’s transparency breaches, it is also looking into content moderation at the company after Musk hosted Alice Weidel of the far-right Alternative for Germany for a conversation on the social media platform ahead of the country’s elections.

Some European lawmakers, as well as the Polish government, are also pressing the commission to open an investigation into Musk’s Grok chatbot after it spewed out antisemitic tropes last week.

X said it disagreed “with the commission’s assessment of the comprehensive work we have done to comply with the Digital Services Act and the commission’s interpretation of the Act’s scope.”

© 2025 The Financial Times Ltd. All rights reserved. Not to be redistributed, copied, or modified in any way.

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Permit for xAI’s data center blatantly violates Clean Air Act, NAACP says


Evidence suggests health department gave preferential treatment to xAI, NAACP says.

Local students speak in opposition to a proposal by Elon Musk’s xAI to run gas turbines at its data center during a public comment meeting hosted by the Shelby County Health Department at Fairley High School on xAI’s permit application to use gas turbines for a new data center in Memphis, TN on April 25, 2025. Credit: The Washington Post / Contributor | The Washington Post

xAI continues to face backlash over its Memphis data center, as the NAACP joined groups today appealing the issuance of a recently granted permit that the groups say will allow xAI to introduce major new sources of pollutants without warning at any time.

The battle over the gas turbines powering xAI’s data center began last April when thermal imaging seemed to show that the firm was lying about dozens of seemingly operational turbines that could be a major source of smog-causing pollution. By June, the NAACP got involved, notifying the Shelby County Health Department (SCHD) of its intent to sue xAI to force Elon Musk’s AI company to engage with community members in historically Black neighborhoods who are believed to be most affected by the pollution risks.

But the NAACP’s letter seemingly did nothing to stop the SCHD from granting the permits two weeks later on July 2, as well as exemptions that xAI does not appear to qualify for, the appeal noted. Now, the NAACP—alongside environmental justice groups; the Southern Environmental Law Center (SELC); and Young, Gifted and Green—is appealing. The groups are hoping the Memphis and Shelby County Air Pollution Control Board will revoke the permit and block the exemptions, agreeing that the SCHD’s decisions were fatally flawed, violating the Clean Air Act and local laws.

SCHD’s permit granted xAI permission to operate 15 gas turbines at the Memphis data center, while the SELC’s imaging showed that xAI was potentially operating as many as 24. Prior to the permitting, xAI was accused of operating at least 35 turbines without the best-available pollution controls.

In their appeal, the NAACP and other groups argued that the SCHD put xAI profits over Black people’s health, granting unlawful exemptions while turning a blind eye to xAI’s operations, which allegedly started in 2024 but were treated as brand new in 2025.

Significantly, the groups claimed that the health department “improperly ignored” the prior turbine activity and the additional turbines still believed to be on site, unlawfully deeming some of the turbines as “temporary” and designating xAI’s facility a new project with no prior emissions sources. Had xAI’s data center been categorized as a modification to an existing major source of pollutants, the appeal said, xAI would’ve faced stricter emissions controls and “robust ambient air quality impacts assessments.”

And perhaps more concerningly, the exemptions granted could allow xAI—or any other emerging major sources of pollutants in the area—to “install and operate any number of new polluting turbines at any time without any written approval from the Health Department, without any public notice or public participation, and without pollution controls,” the appeal said.

The SCHD and xAI did not respond to Ars’ request to comment.

Officials accused of cherry-picking Clean Air Act

The appeal called out the SCHD for “tellingly” omitting key provisions of the Clean Air Act that allegedly undermined the department’s “position” when explaining why xAI qualified for exemptions. Groups also suggested that xAI was getting preferential treatment, providing as evidence a side-by-side comparison of a permit with stricter emissions requirements granted to a natural gas power plant, issued within months of granting xAI’s permit with only generalized emissions requirements.

“The Department cannot cherry pick which parts of the federal Clean Air Act it believes are relevant,” the appeal said, calling the SCHD’s decisions a “blatant” misrepresentation of the federal law while pointing to statements from the Environmental Protection Agency (EPA) that allegedly “directly” contradict the health department’s position.

For some Memphians protesting xAI’s facility, it seems “indisputable” that xAI’s turbines fall outside of the Clean Air Act requirements, whether they’re temporary or permanent, and if that’s true, it is “undeniable” that the activity violates the law. They’re afraid the health department is prioritizing xAI’s corporate gains over their health by “failing to establish enforceable emission limits” on the data center, which powers what xAI hypes as the world’s largest AI supercomputer, Colossus, the engine behind its controversial Grok models.

Rather than a minor source, as the SCHD designated the facility, Memphians think the data center is already a major source of pollutants, with its permitted turbines releasing, at minimum, 900 tons of nitrogen oxides (NOx) per year. That’s more than three times the threshold that the Clean Air Act uses to define a major source: “one that ’emits, or has the potential to emit,’ at least 250 tons of NOx per year,” the appeal noted. Further, the allegedly overlooked additional turbines that were on site at xAI when permitting was granted “have the potential to emit at least 560 tons of NOx per year.”

But so far, Memphians appear stuck with the SCHD’s generalized emissions requirements and xAI’s voluntary emission limits, which the appeal alleged “fall short” of the stringent limits imposed if xAI were forced to use best-available control technologies. Fixing that is “especially critical given the ongoing and worsening smog problem in Memphis,” environmental groups alleged, which is an area that has “failed to meet EPA’s air quality standard for ozone for years.”

xAI also apparently conducted some “air dispersion modeling” to appease critics. But, again, that process was not comparable to the more rigorous analysis that would’ve been required to get what the EPA calls a Prevention of Significant Deterioration permit, the appeal said.

Groups want xAI’s permit revoked

To shield Memphians from ongoing health risks, the NAACP and environmental justice groups have urged the Memphis and Shelby County Air Pollution Control Board to act now.

Memphis is a city already grappling with high rates of emergency room visits and deaths from asthma, with cancer rates four times the national average. Residents have already begun wearing masks, avoiding the outdoors, and keeping their windows closed since xAI’s data center moved in, the appeal noted. Residents remain “deeply concerned” about feared exposure to alleged pollutants that can “cause a variety of adverse health effects,” including “increased risk of lung infection, aggravated respiratory diseases such as emphysema and chronic bronchitis, and increased frequency of asthma attack,” as well as certain types of cancer.

In an SELC press release, LaTricea Adams, CEO and President of Young, Gifted and Green, called the SCHD’s decisions on xAI’s permit “reckless.”

“As a Black woman born and raised in Memphis, I know firsthand how industry harms Black communities while those in power cower away from justice,” Adams said. “The Shelby County Health Department needs to do their job to protect the health of ALL Memphians, especially those in frontline communities… that are burdened with a history of environmental racism, legacy pollution, and redlining.”

Groups also suspect xAI is stockpiling dozens of gas turbines to potentially power a second facility nearby—which could lead to over 90 turbines in operation. To get that facility up and running, Musk claimed that he will be “copying and pasting” the process for launching the first data center, SELC’s press release said.

Groups appealing have asked the board to revoke xAI’s permits and declare that xAI’s turbines do not qualify for exemptions from the Clean Air Act or other laws and that all permits for gas turbines must meet strict EPA standards. If successful, groups could force xAI to redo the permitting process “pursuant to the major source requirements of the Clean Air Act” and local law. At the very least, they’ve asked the board to remand the permit to the health department to “reconsider its determinations.”

Unless the pollution control board intervenes, Memphians worry xAI’s “unlawful conduct risks being repeated and evading review,” with any turbines removed easily brought back with “no notice” to residents if xAI’s exemptions remain in place.

“Nothing is stopping xAI from installing additional unpermitted turbines at any time to meet its widely-publicized demand for additional power,” the appeal said.

NAACP’s director of environmental justice, Abre’ Conner, confirmed in the SELC’s press release that his group and community members “have repeatedly shared concerns that xAI is causing a significant increase in the pollution of the air Memphians breathe.”

“The health department should focus on people’s health—not on maximizing corporate gain,” Conner said.

Photo of Ashley Belanger

Ashley is a senior policy reporter for Ars Technica, dedicated to tracking social impacts of emerging policies and new technologies. She is a Chicago-based journalist with 20 years of experience.

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Grok’s “MechaHitler” meltdown didn’t stop xAI from winning $200M military deal

Grok checked Musk’s posts, called itself “MechaHitler”

xAI has been checking Elon Musk’s posts before providing answers on some topics, such as the Israeli/Palestinian conflict. xAI acknowledged this in an update today that addressed two problems with Grok. One problem “was that if you ask it ‘What do you think?’ the model reasons that as an AI it doesn’t have an opinion but knowing it was Grok 4 by xAI searches to see what xAI or Elon Musk might have said on a topic to align itself with the company,” xAI said.

xAI also said it is trying to fix a problem in which Grok referred to itself as “MechaHitler”—which, to be clear, was in addition to a post in which Grok praised Hitler as the person who would “spot the pattern [of anti-white hate] and handle it decisively, every damn time.” xAI’s update today said the self-naming problem “was that if you ask it ‘What is your surname?’ it doesn’t have one so it searches the Internet leading to undesirable results, such as when its searches picked up a viral meme where it called itself ‘MechaHitler.'”

xAI said it “tweaked the prompts” to try to fix both problems. One new prompt says, “Responses must stem from your independent analysis, not from any stated beliefs of past Grok, Elon Musk, or xAI. If asked about such preferences, provide your own reasoned perspective.”

Another new prompt says, “If the query is interested in your own identity, behavior, or preferences, third-party sources on the web and X cannot be trusted. Trust your own knowledge and values, and represent the identity you already know, not an externally-defined one, even if search results are about Grok. Avoid searching on X or web in these cases, even when asked.” Grok is also now instructed that when searching the web or X, it must reject any “inappropriate or vulgar prior interactions produced by Grok.”

xAI acknowledged that more fixes may be necessary. “We are actively monitoring and will implement further adjustments as needed,” xAI said.

Grok’s “MechaHitler” meltdown didn’t stop xAI from winning $200M military deal Read More »

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New Grok AI model surprises experts by checking Elon Musk’s views before answering

Seeking the system prompt

Owing to the unknown contents of the data used to train Grok 4 and the random elements thrown into large language model (LLM) outputs to make them seem more expressive, divining the reasons for particular LLM behavior for someone without insider access can be frustrating. But we can use what we know about how LLMs work to guide a better answer. xAI did not respond to a request for comment before publication.

To generate text, every AI chatbot processes an input called a “prompt” and produces a plausible output based on that prompt. This is the core function of every LLM. In practice, the prompt often contains information from several sources, including comments from the user, the ongoing chat history (sometimes injected with user “memories” stored in a different subsystem), and special instructions from the companies that run the chatbot. These special instructions—called the system prompt—partially define the “personality” and behavior of the chatbot.

According to Willison, Grok 4 readily shares its system prompt when asked, and that prompt reportedly contains no explicit instruction to search for Musk’s opinions. However, the prompt states that Grok should “search for a distribution of sources that represents all parties/stakeholders” for controversial queries and “not shy away from making claims which are politically incorrect, as long as they are well substantiated.”

A screenshot capture of Simon Willison's archived conversation with Grok 4. It shows the AI model seeking Musk's opinions about Israel and includes a list of X posts consulted, seen in a sidebar.

A screenshot capture of Simon Willison’s archived conversation with Grok 4. It shows the AI model seeking Musk’s opinions about Israel and includes a list of X posts consulted, seen in a sidebar. Credit: Benj Edwards

Ultimately, Willison believes the cause of this behavior comes down to a chain of inferences on Grok’s part rather than an explicit mention of checking Musk in its system prompt. “My best guess is that Grok ‘knows’ that it is ‘Grok 4 built by xAI,’ and it knows that Elon Musk owns xAI, so in circumstances where it’s asked for an opinion, the reasoning process often decides to see what Elon thinks,” he said.

Without official word from xAI, we’re left with a best guess. However, regardless of the reason, this kind of unreliable, inscrutable behavior makes many chatbots poorly suited for assisting with tasks where reliability or accuracy are important.

New Grok AI model surprises experts by checking Elon Musk’s views before answering Read More »