Musk Sues OpenAI and Microsoft Over Nonprofit Mission Breach
A high-stakes trial in California features Elon Musk suing OpenAI, Sam Altman, and Microsoft for allegedly abandoning the AI firm’s original nonprofit mission. Musk seeks $150 billion in damages and leadership changes, claiming betrayal of his early donations. Key testimonies from Microsoft CEO Satya Nadella and former OpenAI scientist Ilya Sutskever reveal intense internal conflicts, financial stakes, and governance disputes. The outcome will significantly impact OpenAI’s corporate structure, future IPO prospects, and the broader competitive landscape of the artificial intelligence industry.
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The end of a bromance: How the love was lost – and a court case decided – between Sam Altman and Elon Musk
A federal court has thrown out Elon Musk's lawsuit against OpenAI and Sam Altman, marking the end of a long legal and personal feud. Musk alleged that Altman breached a contract by converting OpenAI from a nonprofit to a for-profit entity, seeking $150 billion in damages and Altman's removal from the board. The article traces the breakdown of their relationship, starting with their 2015 partnership to create a safe AI lab. In 2017, Musk attempted to take over OpenAI, demanding up to 90% ownership, but was rebuffed by Altman and other founders. Musk then pulled funding and later proposed incorporating OpenAI into Tesla, which Altman also declined. Altman secured funding from Microsoft instead. The court's dismissal is Musk's latest legal loss this year.
Yahoo FinanceElon Musk and Sam Altman's Rivalry Moves to Wall Street After Court Verdict
The rivalry between Elon Musk and Sam Altman has escalated from the courtroom to Wall Street following a federal jury verdict on May 18, 2026, which dismissed Musk's lawsuit against Altman over OpenAI's for-profit restructuring on statute of limitations grounds. Musk has vowed to appeal. The real battle now centers on competing IPOs: SpaceX (which absorbed Musk's xAI) is preparing a record-breaking $1.75 trillion IPO, while OpenAI, valued at over $850 billion, considers a public offering as early as late 2026 despite CFO concerns over $600 billion in compute commitments and $2 billion monthly revenue. The article frames the legal fight as a sideshow to the financial contest for investor capital.
Yahoo FinanceMusk Loses Lawsuit Against OpenAI and Sam Altman
Elon Musk lost his $150 billion lawsuit against Sam Altman and OpenAI, which Musk co-founded over a decade ago. A jury ruled that Musk did not file the lawsuit in a timely manner. Musk has announced plans to appeal the decision. The segment aired on WBUR's Here & Now on May 19, 2026, featuring technology writer Kara Swisher.
WBUR NewsElon Musk Loses Lawsuit Against OpenAI; Article Criticizes AI Industry and Political Ties
A federal jury in San Francisco dismissed Elon Musk's lawsuit against OpenAI CEO Sam Altman, ruling that Musk waited too long to bring the case. Musk had alleged Altman illegally enriched himself by converting OpenAI from a nonprofit to a for-profit company. The verdict means Musk will not get the restoration of OpenAI's nonprofit status, Altman's removal from the board, or over $150 billion in damages. The article, published by The New Republic, uses this legal outcome as a springboard to criticize the broader AI industry, arguing that companies like OpenAI and xAI exploit public-private partnerships and benefit from the Trump administration's policies. It cites polls showing 71% of Americans oppose local AI data center construction and 70% think AI is advancing too quickly. The piece also notes that nearly 50 data center projects worth $156 billion were blocked or stalled last year due to local opposition, and that data center cancellations hit an all-time high in early 2026.
The New RepublicElon Musk and Sam Altman Face Off in Court Over OpenAI's Nonprofit Origins
Elon Musk and Sam Altman, once close collaborators who co-founded OpenAI in 2015 as a nonprofit to counter potential AI monopolies, are now engaged in a high-profile legal battle. The trial, held in Oakland, California, centers on Musk’s lawsuit alleging that Altman and OpenAI breached their initial commitment to maintain the organization’s nonprofit status. Musk claims he conceived the idea, recruited key personnel, and provided initial funding, accusing Altman and President Greg Brockman of unjust enrichment by transforming the entity into a for-profit powerhouse now valued at over $850 billion. Conversely, Altman testified that no binding commitments regarding corporate structure were made and highlighted Musk’s early desire for total control as a point of contention. With closing arguments concluded, a jury is set to deliberate on whether OpenAI’s leadership violated charitable trust obligations. This legal clash occurs as both Musk’s SpaceX and OpenAI prepare for significant financial milestones, including potential public offerings, marking a dramatic deterioration in the relationship between two of the tech industry’s most prominent figures.
US Top News and Analysis4 Key Takeaways From Elon Musk's Lawsuit Against OpenAI Co-Founders
Silicon Valley's first major AI trial, involving Elon Musk's lawsuit against OpenAI co-founders, is concluding after three weeks of intense hearings. The proceedings highlighted four defining moments. First, Musk portrayed himself as a naive benefactor who provided initial funding and ideas, only to see OpenAI become an $800 billion entity, admitting he was an 'idiot' for trusting the founders. Second, OpenAI CEO Sam Altman testified that Musk had previously demanded 90% equity and refused to share power, arguing that artificial general intelligence should not be controlled by one person. Third, co-founder Greg Brockman's personal journals were examined, revealing his early ambitions for financial gain and concerns about Musk, though he denied any shame regarding his actions. Finally, Shivon Zilis, a board member and mother of Musk's children, testified about her dual role, with her communications potentially proving Musk was aware of OpenAI's direction earlier than claimed. This evidence could lead to the dismissal of Musk's lawsuit before jury deliberations begin.
NDTV News Search Records Found 1000California Jury Begins Deliberations in Musk vs. OpenAI Lawsuit
A jury in Oakland, California, has begun deliberations in the high-profile lawsuit filed by Elon Musk against OpenAI and its CEO, Sam Altman. This marks Silicon Valley's first major AI trial. Musk alleges that OpenAI betrayed its original nonprofit mandate by transforming into a profit-driven entity valued at $850 billion. He specifically claims that Altman and co-founder Greg Brockman misappropriated a $38 million donation intended for safe AI research. The trial featured testimony from various tech industry figures, with closing arguments focusing on the integrity of the involved billionaires. Before addressing the merits of the case, the jury must determine if Musk filed the suit within the statutory time limit, a threshold issue that could dismiss the case. If the lawsuit succeeds, Musk seeks to force OpenAI back into a nonprofit structure, which would disrupt its planned IPO and relationships with major investors like Microsoft. The verdict could have significant implications for the governance and future of leading AI companies.
France 24 - International breaking news, top stories and headlinesInsights from the Courtroom Clash Between Elon Musk and Sam Altman
A nine-person jury is preparing to deliberate on Elon Musk’s lawsuit against Sam Altman and OpenAI, which alleges that the AI firm’s leaders stole a charity by restructuring it into a for-profit entity. The trial, held in Oakland, California, has exposed the bitter feud between the tech moguls through extensive private communications and testimonies from high-profile figures like Microsoft CEO Satya Nadella. Musk claims he was swindled after co-founding OpenAI as a non-profit, seeking the removal of Altman and Greg Brockman, the undoing of the corporate restructuring, and the redistribution of $134 billion. OpenAI denies these claims, portraying Musk as a disgruntled former partner who left in 2018 to launch competitor xAI after failing to take control. The verdict could significantly impact OpenAI’s planned public listing, valued at $1 trillion. The proceedings have highlighted conflicting narratives: one depicting Musk as impatient and aware of profit motives, and another painting Altman as deceptive in his pursuit of power. Both men faced aggressive cross-examinations that challenged their credibility.
The GuardianElon Musk vs. OpenAI: High-Stakes Trial Nears Verdict in Oakland
A significant legal battle between Elon Musk and OpenAI is nearing its conclusion at the Oakland Federal District Court, with implications for the future of artificial intelligence. Over three weeks, the trial has featured testimony from tech elites, including Musk, OpenAI CEO Sam Altman, and Microsoft CEO Satya Nadella. Musk accuses Altman and co-founder Greg Brockman of hijacking the originally nonprofit organization for personal gain, alleging fraud aided by Microsoft. He seeks to revert OpenAI to a nonprofit status, remove its current leadership, and claim damages, arguing the shift to a for-profit model betrayed its founding mission. OpenAI counters that the structural change was essential for funding the massive computing power required for AI breakthroughs and characterizes Musk's lawsuit as revenge driven by his own competitive interests through xAI. With OpenAI valued at $852 billion and approaching an IPO, a verdict favoring Musk could destabilize the company and the broader AI industry. Judge Yvonne Gonzalez Rogers, known for her ruling against Apple's App Store monopoly, presides over the case. The jury is currently deliberating on the validity of Musk's claims and statute of limitations issues, with a decision expected soon.
Neueste Artikel - NZZ NachrichtenMusk and Altman Trade Credibility Blows in Final Week of OpenAI Trial
In the concluding week of the lawsuit between Elon Musk and OpenAI CEO Sam Altman, both parties aggressively challenged each other's credibility. Musk’s legal team accused Altman of lying and self-dealing, citing testimony from former executives and highlighting Altman’s investments in companies like Helion Energy that do business with OpenAI. Conversely, OpenAI’s defense portrayed Musk as a power-seeker aiming to control artificial general intelligence development, arguing his lawsuit is a tactic to sabotage competitor xAI. Key evidence included a symbolic trophy awarded to an employee who resisted Musk’s push for rapid AGI development. Musk seeks to unwind OpenAI’s 2025 corporate restructuring and claims up to $134 billion in damages for the nonprofit entity. OpenAI maintains it remains committed to safe AI development despite its for-profit subsidiary. The jury is set to deliver an advisory verdict, which will inform the judge’s final binding decision. The outcome could significantly disrupt OpenAI’s path to a trillion-dollar IPO, while Musk’s xAI prepares for its own public listing via SpaceX.
MIT Technology ReviewMusk and Altman Trade Credibility Blows in Final Week of High-Stakes Trial
In the final week of the lawsuit between Elon Musk and OpenAI CEO Sam Altman, attorneys focused heavily on attacking the credibility of both tech leaders. Musk’s legal team argued that Altman and OpenAI president Greg Brockman breached promises to keep OpenAI a nonprofit, instead creating a for-profit structure for personal gain. They highlighted Altman’s alleged history of dishonesty and conflicts of interest, including investments in companies doing business with OpenAI. Conversely, OpenAI’s defense portrayed Musk as a power-seeker aiming to control artificial general intelligence development and sabotage his competitor, xAI. They argued that no promise was made to maintain strict nonprofit status and that Musk filed suit too late. Musk is seeking to unwind OpenAI’s 2025 restructuring and up to $134 billion in damages. The jury will soon deliver an advisory verdict, which could significantly impact OpenAI’s path to a trillion-dollar IPO. Meanwhile, Musk’s xAI is preparing for its own public listing via SpaceX. The case highlights deep tensions over AI safety, corporate governance, and control in the rapidly evolving tech sector.
MIT Technology ReviewInside the Bizarre Scenes of the OpenAI Trial: Billionaires vs. Billionaires
A three-week federal trial in Oakland, California, involving Elon Musk and OpenAI has concluded, with the case now heading to jury deliberations. The proceedings, described as a spectacle of concentrated tech wealth, featured unusual elements such as an inflatable Elon Musk doll and luxury courtroom accessories. Musk, a co-founder of OpenAI, sued the AI startup and its partner Microsoft, alleging they betrayed the company's original nonprofit mission by creating a for-profit arm and accepting outside investment. In defense, OpenAI and Microsoft argue that the organization remains under nonprofit control and that Musk had previously agreed to the necessity of raising external capital. They further contend that Musk's lawsuit is a harassment tactic driven by his ownership of xAI, a rival artificial intelligence venture. Observers noted the stark contrast between the billionaires' lifestyle and the standard federal court environment. The trial highlights the unique dynamics when ultra-wealthy tech figures engage in legal battles, showcasing both the privileges afforded to them and the standard judicial processes they must undergo. The jury of nine is set to begin deliberations on the future of one of the world's most influential AI companies.
NBC News Top StoriesClosing Arguments in High-Stakes OpenAI Trial Focus on Reputation and Character
An Oakland jury heard final arguments in a significant lawsuit between Elon Musk and OpenAI leaders Sam Altman and Greg Brockman, a case with potential implications for the artificial intelligence industry. The trial centers on Musk's 2024 allegation that Altman and Brockman betrayed OpenAI's original non-profit mission by restructuring as a for-profit entity and licensing ChatGPT exclusively to Microsoft. Musk claims this shift violated founding principles aimed at preventing power consolidation and ensuring AI safety. In response, OpenAI and Microsoft deny the claims, arguing that Musk abandoned the company in 2018 to launch his competitor, xAI, after his bid for control was rejected. Closing statements heavily emphasized the credibility and character of the key figures. Musk's legal team attacked Altman's honesty, citing testimonies from former colleagues, while OpenAI's attorneys dismissed these efforts as character assassination. They countered by portraying Musk as a detached outsider whose testimony contradicted documentary evidence and other witnesses. The proceedings also touched on speculative AI risks, despite judicial restrictions on discussing extinction scenarios.
ZeroHedge NewsKey Revelations from Elon Musk’s Lawsuit Against OpenAI as Trial Concludes
Closing arguments have concluded in Elon Musk’s lawsuit against OpenAI, with a jury set to deliberate on whether executives, including Sam Altman, misled Musk and diverted a nonprofit charity into a for-profit corporation. The trial featured intense scrutiny of Altman’s credibility, with former board members and employees testifying about his alleged dishonesty and contradictory statements. Notably, former CTO Mira Murati claimed Altman lied about safety reviews, while former board member Helen Toner linked his behavior to his 2023 temporary ouster. Significant evidence included a personal diary by OpenAI President Greg Brockman, which revealed internal moral conflicts regarding the company’s pivot to a for-profit model. If the jury rules in Musk’s favor, damages could reach $150 billion, potentially altering OpenAI’s governance. Even if Musk loses, the trial’s revelations may prompt state regulators to reexamine the agreements that allowed OpenAI’s restructuring. The case highlights the messy dissolution of the tech partnership between Musk and Altman, with both sides presenting evidence aimed at discrediting the other’s character and motives. Legal experts suggest an appeal is likely regardless of the verdict.
VoxKey Revelations from Elon Musk’s Lawsuit Against OpenAI as Trial Concludes
Closing arguments have concluded in Elon Musk’s lawsuit against OpenAI, with a jury set to deliberate on whether executives, including Sam Altman, improperly converted the organization from a nonprofit charity into a for-profit entity. Musk alleges he was deceived into donating approximately $38 million under false pretenses. The trial featured damaging testimony regarding Altman’s credibility, with former board members and employees describing a pattern of dishonesty that contributed to his temporary removal as CEO in 2023. Additionally, evidence included personal diary entries from OpenAI President Greg Brockman, who expressed moral concerns about pivoting the company away from its original nonprofit mission. If the jury rules in Musk’s favor, Judge Yvonne Gonzalez Rogers could award significant damages, potentially reaching $150 billion, and mandate changes to OpenAI’s governance. Regardless of the verdict, the exposed evidence may prompt state regulators to re-examine the agreements that facilitated OpenAI’s restructuring. Legal experts anticipate appeals from the losing party, suggesting the conflict will persist beyond the initial judgment.
VoxJury Set to Deliberate in Landmark Tech Case Involving Elon Musk and OpenAI
A jury is preparing to begin deliberations in a significant legal battle within the technology sector, marking a pivotal moment in the ongoing dispute between Elon Musk and OpenAI. Musk, who was an early investor in the artificial intelligence firm, has filed a lawsuit against OpenAI's Chief Executive Officer, Sam Altman, and his top deputy. The core of Musk's legal complaint alleges that the executives betrayed the original foundational plans for the company. Specifically, Musk accuses them of abandoning the commitment to operate OpenAI as a nonprofit organization dedicated to safe and beneficial AI development. Instead, the lawsuit suggests they shifted the company's structure and goals in a manner that contradicted its initial mission. This case is described as landmark due to the high profile of the individuals involved and the implications for corporate governance in the rapidly evolving AI industry. The deliberation phase indicates that the trial proceedings have concluded, and the jury will now determine the outcome based on the presented evidence and arguments regarding the alleged breach of the nonprofit agreement.
ABC News: Top StoriesMusk vs. Altman: Both AI Billionaires Emerge Damaged from Legal Battle
A high-profile three-week legal battle between Elon Musk and Sam Altman has concluded its public phase in an Oakland, California courthouse, leaving both tech leaders reputationaly damaged. The lawsuit, filed by Musk against OpenAI and its CEO Altman, centers on allegations that Altman misled Musk regarding OpenAI's transition from a non-profit entity to a commercial enterprise. Musk, who co-founded OpenAI in 2015, seeks the return of his initial investment, the removal of Altman and Greg Brockman, and a reversal of the company's profit-oriented structure. He also sued Microsoft for its role in enabling this shift. Conversely, Altman argues the suit is merely retaliatory, aimed at stifling competition from Musk's xAI. The trial featured testimonies from key figures like Microsoft CEO Satya Nadella and drew significant public interest, reflecting broader societal anxieties about AI development. With witness hearings completed, the jury is now set to deliberate on the outcome of this pivotal case that offers rare insight into the strategies and conflicts defining the current AI race.
Nieuws, achtergronden en onderzoeksjournalistiek - NRCMusk vs. Altman: Both AI Billionaires Emerge Damaged After Three-Week Legal Battle
A high-profile legal battle between Elon Musk and Sam Altman has concluded its public phase in an Oakland courthouse, leaving both tech billionaires reputationaly damaged. The lawsuit, described as the most sensational case of the AI era, stems from their shared history co-founding OpenAI in 2015. Musk alleges he was misled when OpenAI shifted from a non-profit mission to a commercial enterprise, demanding the return of his initial investment, the firing of Altman and Greg Brockman, and a reversal of the company's profit-oriented structure. He also sued Microsoft for its role in enabling this transition. Conversely, Altman argues that the shift was necessary for securing investment and expanding computing capacity, characterizing Musk’s lawsuit as an act of revenge driven by competition from Musk’s own AI venture, xAI. The trial featured testimony from key figures including Microsoft CEO Satya Nadella and drew significant public attention, with crowds gathering to witness the proceedings. As the jury begins deliberations, the case highlights the intense personal and professional rift between the two leaders, offering rare insight into the strategic thinking and conflicts shaping the future of artificial intelligence development.
Nieuws, achtergronden en onderzoeksjournalistiek - NRCWhat Happens Next in the Elon Musk vs. OpenAI Trial
Closing arguments have concluded in the federal lawsuit filed by Elon Musk against OpenAI co-founders, including Sam Altman, alleging fraud and breach of charitable trust. As the nine-person jury begins deliberations in Oakland, California, attention shifts to Judge Yvonne Gonzalez Rogers, who holds ultimate authority in the case. The trial has been marked by intense personal clashes, with Musk admitting to a co-parenting relationship with an OpenAI executive and Altman criticizing Musk's focus on memes. Controversy arose when Musk left for China during the trial despite assurances he would remain available, prompting apologies from his legal team and criticism from OpenAI's counsel. While the jury's verdict is advisory, Judge Rogers will determine if OpenAI breached its original nonprofit structure and decide on potential remedies. Musk seeks $150 billion in damages, though the judge is not bound by this figure. Key legal hurdles include whether Musk filed within the three-year statute of limitations, with any breaches before August 2021 potentially barring his claim. Both sides are expected to appeal the final verdict regardless of the outcome.
MashableThe Musk vs Altman Trial: Next Steps After Closing Arguments
Closing arguments have concluded in the federal lawsuit filed by Elon Musk against OpenAI co-founders Sam Altman and Greg Brockman, with jury deliberations now underway in Oakland, California. The trial, characterized by intense personal clashes and allegations of fraud regarding OpenAI's shift from a nonprofit to a for-profit entity, has seen significant drama, including Musk's unauthorized departure to China during proceedings. While the nine-person jury provides an advisory verdict, Judge Yvonne Gonzalez Rogers holds the ultimate authority to determine if OpenAI breached its charitable trust obligations and to decide on any remedies. Key legal hurdles include whether Musk filed within the three-year statute of limitations; if the breach occurred before August 2021, his claim may be dismissed. Musk seeks $150 billion in damages, though the judge is not bound by this figure or the jury's recommendation. Both sides have exchanged sharp criticisms, with OpenAI labeling Musk's motives as 'sour grapes' and Musk's team accusing OpenAI of stealing a charity. The final judgment will likely face appeals regardless of the outcome.
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