Tech company TradeSun has sued OpenAI for unfair competition and copyright infringement after the AI giant called its new model “Astra” – the same name as TradeSun’s trade finance software.
TradeSun argued in an October 5 lawsuit that OpenAI’s vast marketing power means the name Astra will solely be associated with the ChatGPT provider and force TradeSun to spend time and money distinguishing the two products.
The complaint said OpenAI’s Astra can complete many of the same tasks as TradeSun’s software, such as reading documents, extracting and reconciling data, fraud screening, and is likely to be used by customers that are also targeted by TradeSun, such as banks.
“OpenAI’s size does not entitle it to TradeSun’s name,” the company said in the suit, filed in a California district court.
TradeSun chief executive and co-founder Nigel Hook told GTR: “The concern is it creates a lot of confusion… OpenAI is a very powerful company, it is affecting us and it will affect us as we bring out more of our products.”
“We intend to fight it because we created it and it’s been our brand for five years now,” he said.
OpenAI – which last month reportedly targeted a valuation of up to US$1.4tn in a private funding round – is yet to respond to the complaint in court.
The firm did not respond to a request for comment from GTR but was cited by Reuters as saying the complaint “lacks any merit whatsoever” and that OpenAI remains “focused on responsibly building technology that benefits everyone”.
ChatGPT launched GPT-6 Astra, one of its most high-powered and expensive models, in early September. It can be used for general computing purposes as well as more specialised scientific, coding and mathematical applications.
TradeSun, founded in 2018, said in the suit that it has operated the Astra platform since at least May 2021, and registered a trademark for the platform a year later, covering various software-as-a-service uses.
It said it has consistently described the platform as incorporating AI elements, and more recently has included AI agents to carry out specific tasks.
TradeSun is seeking an unspecified amount of damages if a court finds in its favour, including any profits made by OpenAI “that are attributable to their infringement and unfair competition”.
It has also asked the court for an injunction against OpenAI continuing to use the name Astra in connection with any products that might cause confusion with TradeSun’s software.
OpenAI has previously faced similar claims from companies, including the apps Cameo and Sora, which accused it of infringing on their trademarks by using similar names for some of its services.
