Musk Testifies He Was a Fool Who Was Misled Over OpenAI

Elon Musk took the witness stand in federal court this week and said he regrets helping fund the early days of OpenAI, calling his past decision a mistake. Testifying during his lawsuit against the company and its leadership in California, Musk said he contributed about $38 million because he believed he was supporting a nonprofit effort focused on developing artificial intelligence for the benefit of the public. Instead, he said, the organization evolved into a massive business now valued in the hundreds of billions.

Musk claims OpenAI CEO Sam Altman and president Greg Brockman misled him into making large donations under the impression the group would remain a charitable operation, only for it to later transition into a profit-driven company. He told the court that turning a nonprofit into a vehicle for personal wealth is wrong and should not be allowed.

Attorneys for OpenAI pushed back, arguing that Musk was aware of and supported the move toward a for-profit structure at the time. They suggested his stance changed after he failed to gain full control over the organization. During cross-examination, lawyer William Savitt questioned Musk about past statements, including a March post where Musk indicated Tesla was working toward artificial general intelligence, despite Musk’s courtroom claim that the company was not pursuing that goal. Savitt also raised questions about whether Musk benefited from tax advantages tied to his donations and whether he ever fulfilled a previously stated $1 billion pledge.

Musk responded that his contributions went beyond money, saying his reputation also carried significant value. He also criticized the line of questioning, accusing the attorney of trying to mislead him.

The billionaire acknowledged that his newer artificial intelligence venture, xAI, is currently competitive on a technical level but remains far smaller than OpenAI. Through the lawsuit, Musk is seeking to have Altman and Brockman removed from their leadership roles, reverse the company’s for-profit restructuring, and redirect more than $180 billion from the for-profit side back to the nonprofit entity.

Altman and Brockman were present in the Oakland courtroom, observing the proceedings as Musk testified. The cross-examination is expected to continue Thursday.

original source