Elon Musk testified at the civil trial against OpenAI, which began on Tuesday according to the report. He asserts that OpenAI and its founders betrayed the organization’s original mission when they transformed the nonprofit startup into a for‑profit enterprise.
Musk told reporters and the court that he originated the idea and the name, recruited key personnel, provided the initial funding, and taught the team what he knew: “I came up with the idea, the name, recruited the key people, taught them everything I know, and provided all of the initial funding,” Reuters quoted him as saying. He added that he intended OpenAI to be a charity that would not benefit any single individual.
In the lawsuit Musk demands that OpenAI revert to nonprofit operations, that co‑founders Sam Altman and Greg Brockman step down from leadership, and that the court award him $150 billion in damages to be paid into OpenAI’s charitable arm.
Context and competing claims
OpenAI did launch as a nonprofit in 2015 but restructured into a for‑profit model in 2019 after Musk’s departure. In 2023 Microsoft invested $10 billion in OpenAI, a deal that drew particular criticism from Musk. Since then Musk has launched his own, far less prominent venture called xAI.
William Savitt, counsel for OpenAI and Sam Altman, argued in opening statements that Musk was actually the one who pushed the company toward a for‑profit path when he helped finance its early growth. Savitt said Musk filed the present lawsuit only after those efforts failed.
Earlier litigation
This is not the first time Musk has sued OpenAI. He brought a similar lawsuit in 2024. That case did not proceed far after OpenAI disclosed some early email exchanges between its leadership and Musk showing that in the early years Musk himself encouraged raising large investments and pursuing greater profitability. Musk withdrew that 2024 filing.
Key dates and figures
- OpenAI founded as nonprofit: 2015
- Converted to for‑profit structure: 2019
- Microsoft investment: $10 billion (2023)
- Musk’s current damages claim: $150 billion
- Previous lawsuit: 2024
The current trial and Musk’s testimony may shape OpenAI’s legal obligations tied to its initial nonprofit commitments and influence debates over governance, fundraising and the control of advanced AI research.
