OpenAI trial pitting Elon Musk against Sam Altman kicks off
A trial has begun in Oakland, California, pitting Elon Musk against OpenAI and CEO Sam Altman over the company's shift from nonprofit to for-profit, with Musk seeking $150 billion in damages and demanding OpenAI revert to its original mission. Musk claims Altman and others betrayed the company's founding principles, while OpenAI argues Musk supported the changes and is now acting out of jealousy. The outcome could impact OpenAI's leadership, IPO prospects, and broader public trust in AI. Witnesses include Musk, Altman, and Microsoft’s Satya Nadella.
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OpenAI trial pitting Elon Musk against Sam Altman kicks offSign up now: Get ST's newsletters delivered to your inboxMr Elon Musk is seeking US$150 billion (S$192 billion) in damages from OpenAI and Microsoft, with proceeds going to OpenAI’s charitable arm.PHOTO: REUTERSPublished Apr 28, 2026, 06:33 PMUpdated Apr 28, 2026, 07:06 PMListenOAKLAND, California - A trial that could help shape the future of artificial intelligence begins on April 28, with billionaires Elon Musk and Sam Altman at odds over the evolution of ChatGPT maker OpenAI from a nonprofit to a profit-seeking juggernaut worth hundreds of billions of dollars.Opening statements in Mr Musk’s civil lawsuit against OpenAI and Mr Altman will take place in the Oakland, California, federal court, following the selection on April 27 of nine jurors.Mr Musk claims that Mr Altman and Mr Greg Brockman, respectively OpenAI’s chief executive and president, betrayed him and the public by abandoning the company’s mission to be a benevolent steward of AI for the benefit of humanity, and turning it into a “wealth machine” for themselves and investors.The world’s richest person is seeking US$150 billion (S$192 billion) in damages from OpenAI and Microsoft, one of its largest investors, with proceeds going to OpenAI’s charitable arm.He also wants OpenAI to revert to a nonprofit, with Mr Altman and Mr Brockman removed as officers and Mr Altman removed from its board.Mr Musk, the Tesla and SpaceX founder, has said he provided about US$38 million of seed money to OpenAI for its original mission, only to see OpenAI create a for-profit entity in March 2019, a little over a year after he left its board.OpenAI countered that Mr Musk knew about and supported the transformation, and sued only after failing to become chief executive, and starting his own AI company to stunt its growth.Mr Musk is no longer seeking damages for himself as he pursues breach of charitable trust and unjust enrichment claims.US District Judge Yvonne Gonzalez Rogers has said she wants jurors to begin deliberations on the defendants’ liability by May 12.The jurors include nurses, city workers and retirees. If they find the defendants liable, both sides will argue possible remedies to the judge.Mr Musk, Mr Altman and Microsoft chief Satya Nadella are among the witnesses expected to testify, with Mr Musk taking the stand as soon as this week.Egos and personalitiesMr Musk and Mr Altman co-founded OpenAI in 2015 with a goal of developing AI to benefit humanity and fend off rivals such as Google.The trial could offer a window into some of the egos and personalities that shaped OpenAI as it evolved from a nonprofit research lab in Mr Brockman’s apartment to a company worth more than US$850 billion.It risks complicating OpenAI’s plans for a potential initial public offering by casting doubt on its leadership, and could also intensify Americans’ fears about AI technology more broadly.OpenAI has argued that Mr Musk was motivated by jealousy in trying to undermine its growth and prop up his own xAI, which he founded in 2023 shortly after OpenAI launched ChatGPT.It has said Mr Musk was involved in discussions to create OpenAI’s new structure and demanded to be chief executive officer.Microsoft has denied having colluded with OpenAI and says it teamed up with OpenAI only after Mr Musk left.OpenAI faces growing competition from rivals including Anthropic, and is spending billions on computational resources. A potential IPO could value the…
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