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Elon Musk, who left OpenAI’s board in 2018 and now runs xAI with its chatbot grok, alleges that ChatGPT operator OpenAI violated its founding mission by transitioning to a for-profit entity.
A judge in Oakland,california,ruled in December 2023 that a jury trial will be held,currently scheduled to begin in April 2024.
Musk claims he contributed approximately $44 million to OpenAI’s initial seed funding in 2015, representing a significant portion of the early investment. he also asserts he played a role in recruiting staff and connecting the founders with key contacts, lending credibility to the project.
Musk argues that the profits earned by OpenAI and Microsoft consequently of the for-profit transition rightfully belong to him, exceeding his initial investment.
Musk’s financial claims are supported by analysis from his expert witness, financial economist C. Paul Wazzan.
Musk is seeking potential punitive damages and an injunction against OpenAI and Microsoft if the jury finds them liable. The nature of the potential injunction remains unspecified.