Judge Rejects Musk’s Attempt to Block OpenAI’s For-Profit Transition

Elon Musk’s quest to halt OpenAI’s shift into the for-profit realm took a hit recently. U.S. District Court Judge Yvonne Gonzalez Rogers ruled against Musk’s motion for an injunction aimed at stopping this significant transition. According to Bloomberg, Musk did not provide sufficient evidence for the injunction, which raises questions about his legal strategy.

The ruling has broader implications, especially considering Judge Rogers' stance on the potential consequences of public funds being used to support a nonprofit morphing into a for-profit entity. "Irreparable harm is incurred when the public’s money is used to fund a non-profit’s conversion into a for-profit," she stated, hinting that a trial will be expedited to address potential unlawfulness in OpenAI's transition.

This development adds a complex layer to Musk’s ongoing legal battle against OpenAI and its CEO, Sam Altman. Musk has accused OpenAI of straying from its original mission: to ensure that the advancements of AI research benefit everyone.

Recently, Musk made headlines with a staggering unsolicited takeover bid of $97.4 billion for OpenAI, a proposition the company's board swiftly rejected. The fallout from this bid may result in ongoing challenges for OpenAI as it navigates its transition and the court of public opinion.

Klarna CEO Doubts Others Will Ditch Salesforce for AI Alternatives

In the ever-evolving fintech landscape, Klarna's CEO, Sebastian Siemiatkowski, is sharing some bold insights. After making waves by dumping Salesforce's flagship CRM in favor of an in-house AI solution, Siemiatkowski took to X to clarify his stance: he doesn't believe that most companies will or should follow in Klarna’s footsteps. “I don’t think it is the end of Salesforce; it might be the opposite,” he articulated.

This shift to a homegrown AI system, leveraging OpenAI's ChatGPT, enabled Klarna to reduce its workforce by 700 full-time contract employees and realize annual savings of approximately $40 million. These statistics were shared during an investor day, prompting feverish coverage and discussions across the tech landscape.

Salesforce's founder and current CEO, Marc Benioff, expressed skepticism about Klarna's data management strategy in response to these developments. Siemiatkowski found himself in an awkward position during Benioff’s on-stage remarks regarding Klarna’s departure from Salesforce, leading him to set the record straight.

He emphasized that Klarna isn’t uploading customer data to OpenAI. Instead, the fintech company consolidated various data from multiple SaaS platforms, including Salesforce, into its own tech stack. As part of this infrastructure, Klarna is utilizing Neo4j's graph database to enhance its internal data management capabilities.

"So no, we did not replace SaaS with an LLM. Storing CRM data in an LLM would have its limitations," he clarified, demonstrating an understanding of the unique challenges in fintech.

Siemiatkowski also opened up the age-old discussion of whether to build or buy enterprise software. While he remains skeptical that many companies will opt to construct their own AI solutions like Klarna did, he does project a future of major consolidation within the SaaS industry: "On the contrary, much more likely is that we will see fewer SaaS firms consolidate the market, and they will do what we do and offer it to others," he wrote.

MWC 2025: All the Phones, Gadgets, and Commentary from Barcelona

Get ready for the latest innovations as The Verge gears up to cover Mobile World Congress (MWC) 2025 live from Barcelona, Spain! Hot on the heels of CES, where we were treated to a myriad of gadgets from TVs to gaming handhelds, MWC promises to focus prominently on mobile technology—a true spectacle for tech enthusiasts worldwide.

Expect announcements from trailblazers like Xiaomi and Nothing, the latter of which is rumored to launch the Nothing Phone 3A. Major players like Samsung and Google will also grace the event, although details about new offerings remain scarce. For those eagerly awaiting updates, could we finally see the highly anticipated Galaxy S25 Edge? MWC might be the stage for its official unveiling!

But it’s not just about the giants. We’re on the lookout for quirky gems not yet available in the U.S., reminiscent of last year's unveiling of Humane’s ill-fated AI Pin. Who knows what treasures await discovery on the show floor this year?

Bookmark this page for your exclusive access to all the news, insights, and first looks from MWC 2025. Whether you’re hunting for the next big thing or just curious about cutting-edge mobile technology, we’ll be your guide through the labyrinth of innovation. Keep your pulse on the latest trends and developments with us right from Barcelona!