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Elon Musk suffers defeat in $150B lawsuit against OpenAI, Sam Altman

Sam Altman and OpenAI beat Elon Musk in $150B lawsuit as jury cites missed deadline

Elon Musk suffers defeat in $150B lawsuit against OpenAI, Sam Altman
Elon Musk suffers defeat in $150B lawsuit against OpenAI, Sam Altman

Elon Musk hit with a major setback in his legal battle against Sam Altman and OpenAI.

According to Al Jazeera, a US jury has ruled against Elon Musk in his lawsuit ⁠against OpenAI, finding the artificial ⁠intelligence company not liable to the world’s richest person for having allegedly strayed from its original mission to benefit humanity.

In a unanimous verdict on Monday, the jury in Oakland, California federal court said Musk had brought his case ⁠too late. The jury deliberated less than two hours.

The trial had widely been seen as a critical moment for the future of OpenAI and artificial intelligence generally, both in how it should be used and who should benefit from it.

Following the verdict, ⁠Musk’s lawyer said he reserved the right to appeal, but the judge suggested he may have an uphill battle because whether the statute of limitations ran out before Musk sued was a factual issue.

US District Judge Yvonne Gonzalez Rogers said, "There’s a substantial amount of evidence to support the jury’s finding, which is why I was prepared to dismiss on the spot."

Elon Musk suffers defeat in $150B lawsuit against OpenAI, Sam Altman

Musk, was a co-founder of OpenAI, the company that launched in 2015 and went on to create ChatGPT. 

After investing $38m in its first years, Musk in 2024 accused OpenAI CEO Sam Altman and his top deputy of shifting into a moneymaking mode behind his back.

The trial that began April 27 shed light on the bitter falling-out between the two Silicon Valley titans and the beginnings of OpenAI, now a company valued at $852bn and moving toward potentially one of the largest initial public offerings in history.

Altman and OpenAI claimed there was never a promise to keep OpenAI a nonprofit forever.

In fact, they argued, Musk knew this and filed his lawsuit because he could not have unilateral control over the fast-growing AI developer.