Figure AI whistleblower fired says robot can ‘fracture a human skull’

Figure AI, a Nvidia-backed humanoid robot developer has been sued by the startup’s former head of product security, claiming he was unfairly dismissed after warning top executives that the company’s robots were “strong enough to crack a human skull.”

Chief robotics safety engineer Robert Gruendel is the plaintiff in the lawsuit, filed Friday in federal court in the Northern District of California. Gruendel’s lawyers describe their client as a whistleblower who was fired in September, just days after submitting “the most direct and documented security complaints.”

Case settles two months after Figure’s value was determined $39 billion In a funding round led by Parkway Venture Capital. This represents a 15x increase in valuation since the beginning of 2024, when the company received support from investors such as Jeff Bezos, Nvidia and Microsoft.

In the complaint, Gruendel’s attorneys said the plaintiff warned Figure CEO Brett Adcock and chief engineer Kyle Edelberg of the robot’s lethal capabilities, saying one of the robots had “already cut a ¼-inch slit into the steel refrigerator door during a malfunction.”

The complaint also says Gruendel warned company leaders not to downgrade the “security roadmap” he was asked to present to two potential investors who funded the company.

The lawsuit says Gruendel was concerned that the “product safety plan that contributed to the investment decision” had been “eviscerated” the same month Figure closed the investment round, which “could be interpreted as fraud.”

The plaintiff’s concerns were “considered a hindrance, not a liability,” and the company cited “an unspecified change in business direction” as an excuse for termination, according to the suit.

Gruendel is seeking economic, compensatory and punitive damages and is requesting a jury trial.

Figure did not immediately respond to a request for comment.

Gruendel’s attorney, Robert Ottinger, said in an emailed statement to CNBC that “California law protects employees who report unsafe practices.”

“This case involves important and emerging issues and may be among the first whistleblower cases regarding the safety of humanoid robots,” Ottinger said. “Mr. Gruendel looks forward to the judicial process that will reveal the clear danger that this market-rushing approach presents to the public.”

The humanoid robot market is just continuing to develop today; Tesla’s and Boston Dynamics are pursuing futuristic offerings with Figure, while China’s Unitree Robotics is gearing up for an IPO. Morgan Stanley said in a speech: report This adoption is “likely to accelerate in the 2030s” and could exceed $5 trillion by 2050, May said.

Read the application here: