Battle over who owns 'OpenAI' heads to appeal court

Tech entrepreneur Guy Ravine and his company, Open Artificial Intelligence Inc., will appeal a decision to permanently enjoin it from using the trademark "Open AI," the company's attorney said Tuesday.

The federal judge in Oakland ruled that Ravine copied OpenAI's valid trademark. The difference between the two marks is a space.

OpenAI, the $300 billion generative artificial intelligence company behind chatbot ChatGPT, filed the lawsuit in 2023 accusing Ravine of fraudulently registering the near identical trademark for his company the same day OpenAI in 2015.

Ravine's company is trademarked as "Open AI." He countersued, arguing that he is the true founder of the company and its altruistic mission of sharing technology with the public.

U.S. District Judge Yvonne Gonzalez Rogers granted OpenAI's motion for summary judgment Monday. The judge found there was no "bona fide use" of Ravine's trademark and said he cannot use the trademark he registered for his company.

Greg Gilchrist, a partner for Verso Law Group LLP in San Francisco who represents Ravine, criticized Gonzalez Rogers' ruling in an email Tuesday writing, "We fundamentally disagree with the court's ruling, which we believe disregards the evidence. ... We intend to appeal."

OpenAI's media relations office reacted to Gonzalez Rogers' ruling in an email Tuesday, "We're grateful for the court's ruling allowing us to protect the OpenAI name and avoid confusion for our users." OpenAI, Inc. v. Open Artificial Intelligence, Inc. et al., 4:23-cv-03918 (N.D. Cal. filed Aug. 4, 2023).

Gilchrist argued in Tuesday's email that Ravine's company has been perpetually active and developed AI products that have "millions" of users.

"Mr. Ravine established and used the Open AI brand since at least as early as March 2015, growing to hundreds of users, then thousands and later millions," the email stated. "He acquired the open.ai domain almost a full year before Mr. [Sam] Altman's OpenAI existed. Mr. Ravine's company's ownership and use is backed by extensive forensic analysis, expert reports, 8 highly credible witnesses, a federal registration since 2017, and its continuous development and operation of roughly ten AI products. We intend to appeal."

Ravine claimed in a May 1 declaration that his company has created various AI tools since 2015 including Boom --- an AI powered video recording application and image generator --- and Ava --- a voice enabled, conversational AI chatbot.

In her order Monday, Gonzalez Rogers said Ravine's AI products "copied" OpenAI's trademark.

"The court finds no genuine disputes of material fact that Ravine's use of Open AI led to actual confusion among customers. Nor is there a genuine dispute of material fact that Ravine copied OpenAI. Because Ravine drifted into OpenAI's market segment through launching Boom and Ava--products OpenAI had offered months prior--Ravine is deemed to have copied the mark," the order stated.

Gonzalez Rogers also partially granted Ravine's motion to strike certain evidentiary objections OpenAI made in attorney declarations in support of the company's motion for summary judgment.

The following attorneys represent OpenAI and could not be reached for comment Tuesday: Margret Caruso, Robert P. Feldman, Robert M. Schwartz, Sam S. Stake, Dylan I. Scher of Quinn Emanuel Urquhart & Sullivan LLP; Orin Snyder, Brian M. Lutz, and Rosemarie T. Ring of Gibson, Dunn & Crutcher LLP.