A U.S. federal jury in Oakland, California, ruled against Elon Musk in his lawsuit against OpenAI, finding that the AI company was not liable for allegedly abandoning its original mission of benefiting humanity. The unanimous verdict concluded that Musk filed the case too late under the applicable statute of limitations, with jurors reaching their decision in less than two hours after deliberations. The ruling is viewed as a major victory for OpenAI and its CEO Sam Altman, potentially clearing obstacles for a future IPO that could value the company at nearly $1 trillion.
Musk had accused OpenAI, Altman, and President Greg Brockman of misleading him into contributing $38 million to the nonprofit organization before transforming it into a profit-driven enterprise backed by major investors, including Microsoft. OpenAI countered that Musk was fully aware of the company’s expansion plans years ago and only pursued legal action after launching his own AI venture, xAI. Following the verdict, Musk announced plans to appeal, claiming that OpenAI’s leadership had “stolen a charity” for personal enrichment. However, Judge Yvonne Gonzalez Rogers indicated that overturning the verdict could be difficult due to strong evidence supporting the jury’s findings.
The closely watched trial lasted three weeks and highlighted growing tensions surrounding the future of artificial intelligence, including concerns over corporate control, safety, and profit motives. Testimony during the proceedings also placed Altman’s credibility under scrutiny, with several witnesses questioning his honesty. Despite the criticism, analysts described the ruling as a significant boost for OpenAI’s future growth and investor confidence. The case has also intensified broader debates over how AI companies should balance innovation, public benefit, and commercial ambitions in a rapidly evolving industry.
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