Artificial Intelligence

Sam Altman testifies in landmark OpenAI trial, says Musk wanted control of company

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Sam Altman testifies in landmark OpenAI trial, says Musk wanted control of company

Sam Altman testified in a high-stakes trial where Elon Musk accused him of betraying OpenAI’s nonprofit mission by turning it into a for-profit venture, with Musk seeking his removal as CEO and up to $180 billion in damages. Altman denied Musk’s claims, stating Musk wanted majority control and criticized Musk’s management style as damaging to OpenAI’s research culture, while also addressing conflicts of interest in his other business ventures like Helion Energy and Reddit.

Sam Altman, co-founder and CEO of OpenAI Group PBC, testified in a landmark trial where Elon Musk accused him of diverting OpenAI from its original nonprofit mission to serve humanity. Musk’s lawsuit claims Altman and OpenAI president Greg Brockman violated the company’s founding principles by prioritizing profit, seeking Altman’s removal and up to $180 billion in damages. Altman denied Musk’s allegations, stating Musk had initially demanded 90% equity in OpenAI, later settling for a majority stake. He also argued Musk’s insistence on ranking employees disrupted OpenAI’s research culture, where long-term collaboration is essential. Altman testified Musk resigned in 2018, citing doubts about OpenAI’s ability to compete with Google’s DeepMind AI research. During cross-examination, Altman rejected claims of fostering a ‘toxic culture of lying,’ insisting he had been honest with the board. He acknowledged past misunderstandings but denied deceit when he was removed from OpenAI’s board in 2023 for allegedly not being ‘consistently candid.’ Musk’s lawyer also questioned Altman’s investments in Helion Energy, a nuclear startup powering OpenAI’s data centers, and his stake in Reddit, both under congressional scrutiny. Altman faced pressure over potential conflicts of interest amid OpenAI’s planned IPO. The trial hinges on whether OpenAI’s shift to a for-profit model betrayed its original mission, with Musk framing it as a betrayal of charitable intent. Altman’s testimony painted Musk as a controlling figure who lost faith in OpenAI’s potential, while also defending his leadership and business decisions.

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