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OpenAI CEO Sam Altman testified Tuesday that Elon Musk’s claim he betrayed the company’s founding mission to serve the public interest is unfounded. Altman said it was Musk who was primarily interested in gaining control of OpenAI and profiting from it.
In a lawsuit filed in August 2024, Musk accused Altman and OpenAI of convincing him to invest $38 million, only for the nonprofit to abandon its original goal of benefiting humanity and instead transform into a for-profit entity.
Now in its third week, the trial may decide OpenAI’s future and its leadership, especially as it prepares for a potential IPO that could value the company at $1 trillion.
In court in Oakland, California, Altman dismissed Musk’s accusations that he and OpenAI President Greg Brockman—who is also a defendant—each tried to “steal a charity.” Altman expressed confusion over that framing, stating, “It’s hard to even grasp that perspective,” adding he expects the nonprofit to thrive as OpenAI continues its success.
Musk, the world’s richest individual, is seeking approximately $150 billion in damages from OpenAI and Microsoft, a key investor. He testified early in the trial, warning that “having someone untrustworthy leading AI is a very serious global risk,” and also called for the removal of Altman and Brockman from their positions.
OpenAI was co-founded in 2015 by Musk, Altman, and others. The company has argued that Musk knew about the for-profit transition before leaving the board in 2018, but he wanted control, which led to the creation of a for-profit arm in March 2019. When asked if Musk opposed the profit plan, Altman replied, “Quite the opposite.” He recalled Musk demanding a 90% stake in OpenAI and always seeking majority control, a prospect Altman found uncomfortable—as seen in Musk’s past control of SpaceX.
Altman also mentioned that although OpenAI leaders aimed to maintain good relations with Musk, they resisted a merger with Tesla, fearing it could compromise their mission because Tesla’s primary goal is to sell cars, not advance AI research.
The lawsuit highlights internal conflicts among tech giants. Musk portrays himself as a defender of ordinary people against the greed of Silicon Valley, which he sees as mainly profit-driven. Meanwhile, Altman shared that Musk’s departure caused mixed feelings at OpenAI—some worried about funding, others relieved of Musk’s frequent calls for researchers to justify their work.
OpenAI Chairman Bret Taylor revealed that in February 2025—six months after Musk sued—the company received a takeover offer from xAI, a rival led by Musk’s competition, which surprised many. Taylor described the proposal as contradictory to the tone of the lawsuit.
Testimony from various witnesses, including former OpenAI scientists and Microsoft CEO Satya Nadella, is ongoing. Nadella characterized Microsoft’s investments as a “calculated risk,” and others have discussed issues of trustworthiness, motivation, and company direction amid the legal battle. The trial is expected to wrap up this week, with jurors potentially deliberating starting May 18, and the judge determining appropriate remedies.
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