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Musk-OpenAI Trial Opens in Oakland as Musk Takes the Stand

The outcome could determine whether courts can unwind a nonprofit’s shift to a profit-seeking model.

Overview

  • Elon Musk testified Tuesday after a nine-person advisory jury was seated Monday, following opening statements that cast the case as a fight over OpenAI’s original charitable mission.
  • The court will first decide liability on two claims, breach of charitable trust and unjust enrichment, before a separate remedies phase that is set to begin in mid May.
  • Musk seeks as much as $150 billion in disgorgement directed to OpenAI’s nonprofit arm, as well as the removal of Sam Altman and Greg Brockman and a reversal of the for-profit conversion.
  • OpenAI denies wrongdoing, saying Musk supported a for-profit plan and left after failing to gain control, and prior approvals by California and Delaware attorneys general complicate who can enforce a nonprofit’s mission.
  • Expected witnesses include Altman, Brockman, and Microsoft CEO Satya Nadella, and the ruling could affect OpenAI’s planned IPO and how the AI sector balances public benefit with commercial goals.