Ex Populus Sues Musk’s xAI Over Alleged Brand Confusion

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Why is Elon Musk's xAI facing a lawsuit from an Ethereum startup?

What did the Ethereum startup claim about xAI's potential impact on its brand?

How does this trademark dispute underline the growing tensions in the tech and AI sectors?

Image source: Unblock Media

Blockchain gaming company Ex Populus files a lawsuit against Musk's xAI, aiming to protect its trademark.
The case highlights alleged brand overlap between Ex Populus' Xai gaming network and Musk’s AI venture.

On Aug. 23, 2025, Ex Populus Inc., a blockchain gaming company and developer of the Ethereum-based Xai gaming network, filed a federal trademark lawsuit against Elon Musk’s artificial intelligence venture, xAI Corp. The lawsuit, initiated in California, accuses xAI of trademark infringement, asserting that the AI company’s use of the “XAI” branding has caused marketplace confusion.

Ex Populus alleges it had been publicly using the “Xai” name and had applied to register the trademark prior to xAI Corp.’s public debut under Musk. The dispute escalated after Musk’s xAI announced plans to establish a video game studio in November. Ex Populus claims that the overlap in branding has led news aggregators, internet users, and even xAI’s own chatbot, Grok, to misattribute its Xai gaming network as part of Musk’s ventures, thereby harming the smaller company’s brand and reputation.

The lawsuit seeks to prevent xAI from utilizing the name “XAI” or similar branding within the video game and blockchain industries. Additionally, Ex Populus is demanding punitive damages, along with restitution of any profits xAI might have earned through its alleged misuse of the trademark. The legal filing emphasizes that Ex Populus has invested substantial time and capital into developing the Xai brand, which it claims has been in active use since at least June 2023.

Ex Populus underlined its broader mission in filing the lawsuit, articulating that protecting its intellectual property rights also safeguards the interests of smaller, innovative companies competing with powerful corporations. The company stated that failure to enforce its trademark could result in the erosion of its legal protections. This case underscores the growing tensions between emerging firms and dominant players entering markets with potentially conflicting brand identities.