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Elon Musk’s Lawsuit Against OpenAI Heads to Trial

Judge Allows Case to Proceed

A federal judge has ruled that Elon Musk’s lawsuit against OpenAI will go to trial, citing sufficient evidence to support the billionaire’s claims. Musk, who co‑founded OpenAI, is suing the company and its chief executive Sam Altman, alleging that its leaders violated the organization’s founding mission by shifting from a nonprofit to a for‑profit model.

At a hearing in Oakland, California, US District Judge Yvonne Gonzalez Rogers said there was “plenty of evidence” suggesting OpenAI’s leaders had assured stakeholders that its nonprofit structure would be maintained. She determined that enough disputed facts exist for a jury to consider the claims at a trial scheduled for March 2026, rather than dismissing the case outright.

Musk’s Claims

Musk argues that OpenAI’s transition to a for‑profit entity undermines its original mission of advancing artificial intelligence for the benefit of humanity. He is seeking unspecified monetary damages, which he describes as compensation for “ill‑gotten gains” by OpenAI.

Industry Context

The lawsuit comes amid intensifying competition in the generative AI market. Musk’s own company, xAI, and its chatbot Grok are vying with OpenAI’s ChatGPT and other developers for dominance in the rapidly expanding sector. The trial could have implications not only for OpenAI’s governance but also for broader debates about the commercialization of artificial intelligence.

OpenAI’s Response

In a statement following the hearing, OpenAI dismissed Musk’s claims: “Mr Musk’s lawsuit continues to be baseless and a part of his ongoing pattern of harassment, and we look forward to demonstrating this at trial.”

Outlook

With the case now set for trial, a jury will weigh Musk’s allegations against OpenAI’s defense. The outcome could shape both the legal and ethical frameworks surrounding AI development in the years ahead.

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