Musk's OpenAI Lawsuit Advances to Jury Trial
A federal judge in California ruled on Wednesday that Elon Musk's lawsuit against OpenAI and its leaders can proceed to a jury trial, finding sufficient evidence to support the billionaire's claims that the artificial intelligence company breached its founding commitments by shifting to a for-profit model.
U.S. District Judge Yvonne Gonzalez Rogers announced the decision during a hearing in Oakland, denying motions from OpenAI, its CEO Sam Altman, co-founder Greg Brockman, and Microsoft to dismiss the case. The ruling paves the way for a trial tentatively scheduled for March, where a jury will evaluate the disputed facts. Musk, who co-founded OpenAI in 2015 as a nonprofit research lab dedicated to developing AI for humanity's benefit, alleges that the organization's restructuring violated assurances made to early backers like himself.
Musk claims he contributed about $38 million, representing roughly 60 percent of OpenAI's initial funding, along with strategic guidance and public credibility, under the belief that the company would remain nonprofit. The lawsuit, filed in 2024, accuses Altman and Brockman of orchestrating a for-profit transition to enrich themselves, including...