Elon Musk vs. OpenAI: What You Need to Know About the Epic $134 Billion Trial
The former friends and co-founders are now battling in court over whether Altman broke OpenAI’s nonprofit mission and charitable purpose.
It’s hard to imagine now, but Elon Musk and Sam Altman were once happy co-workers. The power duo co-founded OpenAI in 2015 to build artificial intelligence safely. Now they’re facing off in a bitter $134 billion lawsuit that went to trial this week.
Here’s what the trial is all about: Musk left OpenAI’s board in 2018 and sued the company, Altman and president Greg Brockman in 2024, alleging they broke their commitment to keep the AI lab a nonprofit. Musk claims he was “assiduously manipulated” and “deceived” by promises to “chart a safer, more open course than profit-driven tech giants.” He wants the judge to unwind OpenAI’s recent restructuring, which turned it into a nonprofit with a controlling stake in a for-profit business, and remove Altman and Brockman from their roles.
OpenAI calls the lawsuit “baseless and jealous.” Of Musk’s 26 original claims, only two remain: unjust enrichment and breach of charitable trust. The trial comes as Musk prepares to take SpaceX public in a record IPO and OpenAI gears up for its own public offering later this year.
It’s hard to imagine now, but Elon Musk and Sam Altman were once happy co-workers. The power duo co-founded OpenAI in 2015 to build artificial intelligence safely. Now they’re facing off in a bitter $134 billion lawsuit that went to trial this week.
Here’s what the trial is all about: Musk left OpenAI’s board in 2018 and sued the company, Altman and president Greg Brockman in 2024, alleging they broke their commitment to keep the AI lab a nonprofit. Musk claims he was “assiduously manipulated” and “deceived” by promises to “chart a safer, more open course than profit-driven tech giants.” He wants the judge to unwind OpenAI’s recent restructuring, which turned it into a nonprofit with a controlling stake in a for-profit business, and remove Altman and Brockman from their roles.
OpenAI calls the lawsuit “baseless and jealous.” Of Musk’s 26 original claims, only two remain: unjust enrichment and breach of charitable trust. The trial comes as Musk prepares to take SpaceX public in a record IPO and OpenAI gears up for its own public offering later this year.