Musk’s xAI sues ex-engineer for stealing secrets

Good morning, AI enthusiasts. Elon Musk’s AI company just escalated its feud with OpenAI, this time in court, as xAI sues a former engineer for allegedly stealing trade secrets tied to its Grok chatbot and taking them to OpenAI.

PLUS: How to build a website with AI in minutes

TODAY IN AI

1. Musk’s xAI sues ex-engineer for stealing secrets

Elon Musk’s AI startup, xAI, has filed a lawsuit against former engineer Xuechen Li, accusing him of stealing trade secrets related to its Grok chatbot and taking them to rival OpenAI.

→ Li allegedly took confidential files after accepting a job at OpenAI

→ xAI says the data involved “cutting-edge AI tech” superior to ChatGPT

→ The company is seeking damages and a restraining order to block Li’s move

→ OpenAI itself is not a defendant in the case

Why is important: The lawsuit highlights the escalating battle for AI talent and IP as Musk wages legal and competitive war with OpenAI. If proven, the case could reshape how aggressively startups guard against employee moves to rivals.

2. Microsoft AI launches its first in-house models

Microsoft announced its first homegrown AI models, marking a major step beyond its reliance on OpenAI. The launch includes a speech model (MAI-Voice-1) and a text model (MAI-1-preview).

→ MAI-Voice-1 can generate 1 minute of audio in under 1 second on a single GPU

→ Already powers Copilot Daily news recaps & podcast-style discussions

→ Now being tested on Copilot and benchmarking platform LM Arena

Why is important: This move deepens Microsoft’s independence from OpenAI and signals its intent to build a portfolio of specialized, consumer-focused models. If successful, it could reshape the balance of power in the AI ecosystem.

ESSENTIAL BITES

Meta is in talks with Google and OpenAI to plug their models into Meta AI while it works on training its own next-gen system.

OpenAI plans to establish a new data center in India with at least 1 gigawatt capacity, seeking local partnerships to support AI infrastructure expansion in the region.

At the Shanghai Cooperation Organization Summit on September 1, 2025, Chinese President Xi Jinping urged AI cooperation among member countries, rejecting Cold War mentalities in technology development.

ByteDance launched USO, an open model that preserves subjects while applying new artistic styles to generate customized images.

HOW TO AI

How to create apps, games, and websites with one line of prompt

Lindy Build is a brand-new AI coding agent that can generate websites, full-stack apps, mobile apps, or even games, all from a single line of description. Unlike other builders, it doesn’t just throw snippets of code at you. It opens a live browser, interacts with the project, finds issues, and fixes them on its own.

🧰 Who is this for

• Founders who want to launch products fast without hiring developers

• Designers who want to turn ideas into live prototypes instantly

• Marketers who need quick landing pages, dashboards, or campaign sites

• Developers who want an AI partner to handle boilerplate coding and debugging

STEP 1: Access Lindy Build

Head over to Lindy, and you’ll land on the main dashboard with a set of recommended options.

In the text field that says, “Describe your app or website idea and I’ll get to work,” type exactly what you want to build.

For this tutorial, let’s create an agency website.

Write detailed prompt like: "Build a modern, professional, and engaging website for a content creation agency. The agency specializes in AI-powered video content, personal branding, and audience growth for creators and businesses. The website should have a clean, minimal design with a bold and premium feel."

And hit “Enter “.

STEP 2: Build with Lindy

Lindy will instantly open a chat interface and start building your website.

It will ask you a few quick questions, like your agency name, target audience, and other details, to make the site more accurate and personalized.

Once you answer, Lindy will immediately begin creating your site. You can watch the process live as it builds each section on the right-hand side of your screen.

STEP 3: Share and deploy

When your website is ready, Lindy will provide a detailed summary along with a shareable link.

You can open it instantly, share it with your team, or export the code to continue building on your own.

⚙️ Hot AI Tools:

• 🎥 Google Vids: Create and edit videos with AI-powered tools

• 📝 Fireflies.ai: Auto-transcribes, summarizes & organizes meetings.

• 🥁 HunyuanVideo-Foley: Open-source model for professional-grade audio

• 📽️ DrawToVideo: Turn sketches into living animations with AI.

That's it! See you tomorrow

- Dr. Alvaro Cintas