OAKLAND, Calif. — Legal teams representing Elon Musk and OpenAI delivered closing arguments Thursday in a pivotal court case that may determine the trajectory of artificial intelligence development.
The Tesla CEO helped establish OpenAI when it began operations in 2015, the same company that would later develop ChatGPT. Following his $38 million investment during the organization’s initial phase, Musk filed legal action in 2024 claiming OpenAI CEO Sam Altman and his senior colleague secretly transformed the venture into a profit-driven enterprise.
Jurors must first determine whether Musk’s legal challenge was submitted within the required timeframe. While much courtroom testimony has focused on OpenAI’s formative period following its 2015 establishment, there exists a limited window for pursuing the breach of charitable trust and unjust enrichment allegations Musk has raised.
OpenAI’s legal team contends that Musk delayed too long and cannot seek damages for incidents occurring prior to August 2021.
In a court document filed last month, the judge stated that “if the jury finds that Musk failed to file his action within the statute of limitations, it is highly likely” she will “accept that finding and direct verdict to the defendants.”
Should jurors conclude the lawsuit was timely filed, they must then evaluate whether OpenAI operated under a “charitable trust” and if OpenAI along with its leadership violated that arrangement. Musk’s additional allegation requires the jury to assess whether Altman, Greg Brockman — co-founder and president — and OpenAI improperly benefited themselves at Musk’s cost.
Regarding Microsoft, which is also named as a defendant, jurors must determine if the technology giant assisted in facilitating any trust violation.
During Thursday morning proceedings, Musk’s legal representative, Steven Molo, informed jurors that the Tesla CEO is “sorry he could not be here.”
Musk is currently in China accompanying President Donald Trump and other notable technology industry leaders.
