Elon Musk claims OpenAI was his idea, alleging executives later 'looted' it

Elon Musk claims OpenAI was his idea, alleging executives later 'looted' it
People gather outside a federal courthouse during jury selection in Elon Musk’s lawsuit over OpenAI’s for-profit conversion in Oakland, U.S., 27 April, 2026.
Reuters

Elon Musk took the stand on Tuesday (28 April) at a high-stakes trial over the future of OpenAI, casting his lawsuit against the ChatGPT maker as a defence of charitable giving.

The world’s richest person is suing OpenAI, its co-founder and CEO Sam Altman, and President Greg Brockman, alleging they betrayed him and the public by abandoning the company’s original mission.

He claims OpenAI shifted from a nonprofit aimed at benefiting humanity into a profit-driven organisation.

“If we make it OK to loot a charity, the entire foundation of charitable giving in America will be destroyed," Musk testified on the first day of the trial. "That’s my concern.”

Musk, who founded automaker Tesla and rocket company SpaceX, characterised OpenAI as his brainchild as well.

"I came up with the idea, the name, recruited the key people, taught them everything I know, provided all of the initial funding," Musk said.

Before Musk began testifying, William Savitt, a lawyer for OpenAI and Altman, told jurors during his opening statement it was Musk who saw dollar signs as he helped finance OpenAI's early growth and pushed it to become a for-profit business, one he might eventually lead as CEO.

Savitt said Musk wanted "the keys to the kingdom," and sued only after he failed. In 2023, he started his own AI business, xAI, now part of SpaceX.

OpenAI's lawyer also framed OpenAI's March 2019 creation of a for-profit entity as critical to letting it buy computing power and pay top scientists to stay competitive with Google's DeepMind AI lab.

Musk's lawyer, Steven Molo, told jurors in his opening statement it was the OpenAI defendants who were greedy for money, as OpenAI began drawing investors including Microsoft, which invested $10 billion in January 2023.

"It wasn't a vehicle for people to get rich," Molo said.

Musk is expected to resume his testimony on Wednesday (29 April).

Judge admonishes Musk over social media use

Musk is seeking $150 billion in damages from OpenAI and Microsoft, one of its largest investors, with proceeds going to OpenAI’s charitable arm.

He also wants OpenAI to revert to a nonprofit, with Altman and Brockman removed as officers and Altman removed from its board. Musk's claims include breach of charitable trust and unjust enrichment.

Musk agreed to minimise his social media activity, and Altman similarly agreed. Altman and Microsoft chief Satya Nadella are also expected to testify.

The trial offers a window into some of the egos and personalities that shaped OpenAI as it evolved from a nonprofit research lab in Brockman’s apartment to a company worth more than $850 billion.

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