Musk and Altman square off in OpenAI court battle

Elon Musk has filed a lawsuit accusing OpenAI of abandoning its founding mission to benefit humanity and tilting toward profit, which places the company’s structure and purpose in a courtroom spotlight.

The case centers on whether OpenAI should operate as a public benefit nonprofit or pivot toward a traditional for-profit model, with Musk arguing for a drastic remedy.

Musk testified on April 28 as the first witness, presenting his view that his involvement with OpenAI was to save humanity and casting doubt on how the organization has evolved since its early days.

He was followed by his financial manager and Neuralink chief Jared Birchall, who testified during the initial phase of the proceedings.

Week two of the trial featured new witnesses and a broader set of themes, with Professor Stuart Russell and OpenAI cofounder Greg Brockman taking the stand.

The proceedings also added a live audio stream on YouTube, underscoring the high level of public interest in the case.

Shivon Zilis, a former OpenAI director with a personal connection to Musk, was slated to testify next, and Microsoft CEO Satya Nadella was expected to appear as well, followed by OpenAI cofounder Ilya Sutskever.

OpenAI rebutted Musk’s framing, calling the lawsuit baseless and jealous and accusing Musk of aiming to derail a competitor, a line the company has repeated as the trial has progressed.

Musk’s filing seeks the removal of Altman and Brockman from leadership and asks the court to halt OpenAI’s status as a public benefit corporation, while pushing for substantial damages, up to $150 billion, awarded to the nonprofit that supports OpenAI.

The demands spotlight a larger confrontation over who ultimately dictates OpenAI’s mission and how the company should be regulated in an era of rapid AI advancement.

Industry observers say the case could reverberate beyond OpenAI, touching governance models for AI labs that depend on a blend of philanthropy, investor capital, and commercial partnerships.

If Musk prevails or even if the litigation forces concessions, it could influence how future AI labs balance mission driven goals with profitability, and it could affect how publicly visible AI ventures manage risk, funding, and accountability.

As the trial progresses, attention will turn to the next round of testimonies and the detailed arguments about OpenAI’s corporate structure and long term strategy.

Nadella’s appearance and Sutskever’s testimony are among the milestones that could tilt perceptions of who owns the direction of one of the era’s defining AI ventures, and what a successful outcome might mean for ChatGPT and similar tools.