According to Beating and The Verge, on Day 4 of the trial between Musk and OpenAI, OpenAI’s lawyers questioned whether xAI had used distillation to improve its models using OpenAI’s technology. Musk initially stated that “almost all AI companies do this,” but when pressed for a direct answer, acknowledged “partially yes.” Distillation is a training technique where one AI model’s outputs are used to train another model; OpenAI’s terms prohibit using its service outputs to develop competing models.
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