Elon Musk faces defeat in lawsuit against OpenAI with a unanimous decision.

Jury Rules Against Elon Musk in OpenAI Case

In a significant verdict on Monday, a jury ruled against Elon Musk in a case questioning the future of OpenAI. The panel found that Musk was not entitled to compensation, stating his claims related to the AI giant’s mission to benefit humanity were filed too late.

After just a few hours of deliberation, the nine-member federal jury unanimously decided the case, ending a three-week trial that attracted considerable attention in Silicon Valley and beyond. High-profile figures like Sam Altman, Greg Brockman, and Musk himself, along with others, provided testimony during the proceedings.

Musk had previously contributed $38 million to OpenAI before launching his own AI project, xAI. In this lawsuit, he sought nearly $150 billion in damages and requested a court order to revoke OpenAI’s for-profit designation.

The lawsuit accused Brockman, Altman, and OpenAI of deviating from their charitable mission by raising substantial funds for a for-profit venture. Additionally, it claimed Microsoft was complicit through its investment of about $13 billion into OpenAI’s commercial side.

“This case is very simple: You can’t steal charity,” Musk asserted during his testimony. He emphasized this point multiple times on the stand.

After Microsoft’s investment in OpenAI became public knowledge, Musk texted Altman, calling the deal a “bait and switch.”

Defendants, including Altman, maintained throughout the trial that Musk was fully aware of—and even supported—OpenAI’s commercial initiatives. They presented evidence that Musk agreed raising traditional venture funding was necessary to compete with companies like Google.

Greg Brockman, OpenAI’s president, recounted a meeting back in 2017 at Musk’s home. He noted that the atmosphere felt celebratory, with signs of a party the night before still evident, and discussions began to shift towards commercial prospects.

A legal expert familiar with high-profile tech cases suggested that Musk’s position might have been bolstered during the trial, especially after Altman faced tough questioning about his credibility.

“Mr. Musk has more legal battles ahead than previously expected,” the expert stated, referencing some surprising moments during Altman’s cross-examination.

Altman’s credibility served as a pivotal point in Musk’s case. The legal team leaned heavily on testimony from former OpenAI personnel, some of whom claimed Altman’s statements frequently contradicted one another.

During closing arguments, Musk’s attorney painted a vivid picture for the jurors. He asked them to imagine hiking across a rickety wooden bridge over a canyon, warning, “Would you cross knowing it’s built on Sam Altman’s version of the truth?”