Ex Populus, the developer of a layer-3 network, has filed a lawsuit against xAI, claiming that the use of the Xai name causes confusion in video game and blockchain contexts.
Ex Populus's Lawsuit Against xAI
On Thursday, Ex Populus filed a federal lawsuit against xAI, seeking to prohibit the use of any terms or symbols that may lead to confusion with the Xai trademark. The lawsuit was filed in the Northern District of California.
Allegations of Confusion
Ex Populus claims that recent announcements from xAI, including plans for an AI video game studio, triggered substantial confusion. News reports and online comments have led users to associate the two brands, adversely affecting Xai's reputation. Reports indicated that xAI's chatbot Grok even mixed up both projects, suggesting that both Xai and xAI's gaming initiatives were controlled by Musk's companies.
Demands from Ex Populus
The lawsuit includes demands to ban xAI from using the Xai name and seeks financial compensation. Ex Populus is also pursuing restitution for all profits allegedly earned by xAI from the improper usage, asserting that the harm has increased since xAI entered the market.
The lawsuit between Ex Populus and xAI raises questions about the ability of smaller businesses to protect their identity in the face of competition from larger firms using similar names.