Musk Seeks $79B-$134B Damages in OpenAI Lawsuit

Elon Musk has escalated his long-running legal battle against OpenAI and Microsoft, seeking damages ranging from $79 billion to $134 billion in a recent court filing. The claim, detailed by Musk's legal team on Friday, accuses the AI company of breaching its founding nonprofit principles through its shift to a for-profit model and close partnership with Microsoft. The lawsuit, originally filed in March 2024, is set for a jury trial in late April in federal court in Oakland, California.

Musk, who co-founded OpenAI in 2015, alleges that his early contributions generated substantial "wrongful gains" for the defendants. According to the filing, Musk provided approximately $38 million in seed funding, which accounted for about 60 percent of the organization's initial capital. Beyond financial support, he offered startup advice, facilitated key employee recruitments, and made business introductions. Musk left OpenAI's board in 2018 amid disagreements over the company's direction, particularly its potential transition away from its nonprofit roots aimed at benefiting humanity through open AI research.

The damages estimate comes from financial economist C. Paul Wazzan, serving as Musk's...