Sam Altman rejects Elon Musk’s ‘stealing a charity’ claim in explosive OpenAI trial

Sam Altman on Tuesday (May 12) pushed back strongly against allegations by Elon Musk that he betrayed OpenAI’s founding mission, as a high-stakes courtroom battle over the future of the ChatGPT maker unfolded in California.

The closely watched federal trial in Oakland could reshape the governance and leadership of OpenAI, one of the world’s most influential artificial intelligence companies.

Musk claims OpenAI abandoned its original mission and instead evolved into a powerful commercial enterprise backed by major technology investors.

“It feels difficult to even wrap my head around that framing,” Altman told the court.

He added: “It does not fit with my concept of the words ‘stealing a charity’ to look at what is happening here.”

Altman argued that OpenAI’s nonprofit structure still stands to benefit significantly from the company’s future success.

“As OpenAI continues to do well, the nonprofit will do even better,” he said.

According to Altman, the organisation explored multiple corporate structures during its early years, including both nonprofit and for-profit possibilities.

“At the time we had no conception we would someday have profits or revenue,” Altman testified.

The remarks form part of OpenAI’s broader defence that the company’s evolution reflected changing technological and financial realities rather than a betrayal of its founding principles.

Altman testified that he was uncomfortable with Musk’s demands for greater authority within OpenAI.

“I was extremely uncomfortable” with Musk’s demand for control, Altman said.

OpenAI contends that Musk’s lawsuit stems partly from frustration over missing out on the massive financial upside generated by the AI boom.

Taylor said the proposal appeared contradictory given Musk’s legal claims about protecting OpenAI’s nonprofit mission.

“I was surprised,” Taylor testified.

He continued: “This proposal was to acquire this non-profit by a group of for-profit investors, which felt contradictory to the spirit of the lawsuit.”

The lawsuit also seeks the removal of Altman and Brockman from leadership positions.

The case has become one of Silicon Valley’s most closely watched legal battles, pitting two of the AI industry’s most prominent figures against each other.

Former OpenAI chief scientist Ilya Sutskever testified that he spent nearly a year collecting evidence suggesting Altman showed a “consistent pattern of lying.”

Meanwhile, Satya Nadella described Microsoft’s investment in OpenAI as a “calculated risk.”

Other witnesses have included former OpenAI technology chief Mira Murati and former OpenAI board member Shivon Zilis.

“If you have someone who is not trustworthy in charge of AI, I think that’s a very big danger for the whole world,” Musk told the court.

He also maintained that OpenAI originated from his vision before shifting away from its nonprofit roots.

According to Musk, Altman had assured him that OpenAI would remain a nonprofit organisation even as discussions about commercialisation emerged.

Testimony is expected to conclude this week, with jurors potentially beginning deliberations by May 18 on whether OpenAI executives are legally liable.

Any remedies or penalties would ultimately be determined by the judge.