Elon Musk testifies in OpenAI trial, alleging betrayal of nonprofit mission as company defends its shift to a for-profit structure.
Elon Musk took the stand Tuesday in a closely watched U.S. trial over the future of OpenAI, framing his lawsuit as a fight to protect charitable principles in artificial intelligence.
The case pits Musk against OpenAI leadership, including CEO Sam Altman and President Greg Brockman, over whether the organization abandoned its original nonprofit mission. Musk claims OpenAI shifted from a public-interest model to a profit-driven structure, undermining its founding purpose. The lawsuit seeks $150 billion in damages and structural changes to the company. Charity mission disputeMusk told jurors that OpenAI’s transformation threatens broader trust in philanthropy.
“If we make it OK to loot a charity, the entire foundation of charitable giving in America will be destroyed,” Musk testified. “That’s my concern. ” He described OpenAI as his original concept and emphasized its nonprofit intent.
“I came up with the idea, the name, recruited the key people, taught them everything I know, provided all of the initial funding,” Musk said. “It was specifically meant to be for a charity that does not benefit any individual person. ”Musk argued he deliberately avoided a for-profit structure at the start. He said he could have built a commercial company but chose not to.
The lawsuit alleges breach of charitable trust and unjust enrichment. Musk wants OpenAI to revert fully to nonprofit status and remove Altman and Brockman from leadership roles. Control and profit clashAttorneys for OpenAI pushed back sharply in court. Lawyer William Savitt argued Musk himself pushed for a for-profit transition during OpenAI’s early growth.
He told jurors Musk sought control over the company and leadership. Savitt said Musk wanted “the keys to the kingdom,” and sued only after he failed. He added, “We are here because Mr. Musk didn’t get his way. ”The defense also pointed to OpenAI’s 2019 creation of a for-profit arm as a practical move.
It allowed the company to secure computing resources and retain top AI talent, especially against competitors like Google’s DeepMind. Musk’s attorney, Steven Molo, rejected that argument. He said OpenAI leaders pursued profit aggressively.
“It wasn’t a vehicle for people to get rich,” Molo said. The dispute also involves Microsoft, a major OpenAI investor. Microsoft committed $10 billion in 2023, strengthening OpenAI’s commercial expansion. OpenAI fires backOutside the courtroom, OpenAI released a detailed statement defending its structure and mission.
The company accused Musk of acting out of personal motives. It described his actions as driven by “jealousy, regret for walking away from OpenAI and a desire to derail a competing AI company. ”OpenAI said Musk agreed in 2017 that a for-profit component was necessary to raise large funds. The company also claimed Musk sought full control and even proposed merging OpenAI into Tesla.
The statement noted Musk donated $38 million to the nonprofit, which it said funded research as intended. It argued Musk now seeks to treat that donation as an investment. OpenAI maintained that a nonprofit still governs its mission. It said its foundation continues funding work in health, safety, and AI risks, while its commercial arm supports scaling and deployment.
Musk is expected to continue his testimony on Wednesday as the trial moves deeper into questions of governance, funding, and the future direction of artificial intelligence.
Artificial Intelligence Elon Musk Greg Brockman Microsoft Nonprofit Vs For Profit Openai Sam Altman
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