Elon Musk Testifies in Lawsuit Against OpenAI Over Nonprofit Mission

Elon Musk testified for three days in a federal court in Oakland, California, in his lawsuit accusing OpenAI and its leaders of breaching the company's founding agreements by shifting from a nonprofit to a for-profit structure. According to court filings cited in multiple reports, Musk alleges that OpenAI's transition violated promises to prioritize artificial intelligence development for humanity's benefit, with him donating approximately $44 million—higher than the $38 million figure mentioned in some accounts—between 2016 and 2020.

The case, presided over by U.S. District Judge Yvonne Gonzalez Rogers, names OpenAI CEO Sam Altman, President Greg Brockman, and Microsoft as defendants, claiming unjust enrichment and breach of contract.

During testimony, Musk stated, "It's very simple. It's not okay to steal a charity," in reference to OpenAI's structural changes, as reported by NPR and Benzinga. He testified that he left OpenAI's board in 2018 after disagreements over control and direction, adding that he stopped funding by 2020 to focus on his other companies, including Tesla and SpaceX.

OpenAI's defense presented emails from 2015 and 2017 showing Musk had proposed or directed the creation of a for-profit entity within OpenAI, including a 2017 instruction to advisors to register a for-profit corporation in OpenAI's name, according to evidence exhibits detailed in The Verge.

In cross-examination by OpenAI attorney William Savitt, Musk admitted he did not fully read a 2018 email from Altman about securing Microsoft funding, stating, "I didn't read the fine print," as quoted in Benzinga. Musk also acknowledged that his company xAI, launched in 2023, used a process called "distillation" involving OpenAI data to train its models, a point highlighted in Forbes and TechCrunch reports.

OpenAI argued in court that Musk supported a for-profit arm initially but sued after failing to gain majority control, with Savitt questioning Musk on a 2023 public letter he signed calling for a pause on advanced AI development, without disclosing xAI's formation at the time.

The trial, which began with jury selection on April 25, 2026, according to dates in CNN and The New York Times coverage, has featured emails, meeting notes, and texts from OpenAI's early years. Musk testified he was open to a for-profit subsidiary provided it did not supersede the nonprofit mission, and in 2018 texts with Altman, he declined an offer of equity in the company.

The judge instructed parties to avoid discussions of broader AI existential risks, emphasizing that the case centers on specific founding promises and alleged breaches, as noted in BBC and Wired reports. OpenAI has not publicly released additional founding documents beyond those entered as evidence, and no comments from Altman or Brockman outside of court have been reported as of April 30, 2026.

" Musk accused Savitt of trying to "trick" him during questioning about OpenAI's origins, according to BBC. The proceedings have also referenced Musk's past attempt to acquire OpenAI with other investors and his relationship with former OpenAI board member Shivon Zilis, who texts suggest monitored the company on his behalf; Zilis has not testified as of the latest reports.