Eliza Labs Sues X, Accuses Elon Musk’s Platform of Copying AI and Cutting Them Off
Tech startup takes on tech titan in billion-dollar AI showdown.
The Allegations
Eliza Labs claims X ripped off their proprietary AI algorithms then abruptly severed their partnership—alleging Musk's team deployed a near-identical system weeks after cutting access. No more API calls, no warning—just radio silence and what appears to be their tech running on X's platform.
The Fallout
Eliza's legal team filed for damages and injunctive relief, arguing this isn't just breach of contract—it's outright theft. Meanwhile, X's legal department hasn't commented, though internal memos suggest they're 'optimizing AI partnerships'—corporate speak for 'we found a cheaper way to do this ourselves.'
Another day, another 'disruption' where the only thing being disrupted is someone else's revenue stream—but hey, at least the lawyers are making ATH fees.