{"id":402301,"date":"2026-04-28T23:39:09","date_gmt":"2026-04-28T23:39:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/402301\/"},"modified":"2026-04-28T23:39:09","modified_gmt":"2026-04-28T23:39:09","slug":"musk-says-its-not-okay-to-loot-a-charity-as-he-takes-the-stand-in-openai-trial","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/402301\/","title":{"rendered":"Musk says it&#8217;s not okay to &#8216;loot a charity&#8217; as he takes the stand in OpenAI trial"},"content":{"rendered":"<p><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/www.newsbeep.com\/nz\/wp-content\/uploads\/2026\/04\/4JPF621_AFP__20260427__A92U6WH__v1__MidRes__FilesComboUsAiTrialTechnologyMuskAltman_jpg.jpeg\" width=\"1050\" height=\"787\" alt=\"This combination of pictures created on 11 February 2025 shows OpenAI CEO Sam Altman (left) in Berlin on 7 February 2025 and Elon Musk at US President Donald Trump's inanuguration ceremony in Washington, DC, on 20 January 2025.\"\/><\/p>\n<p class=\"photo-captioned__information\">\nElon Musk and OpenAI CEO Sam Altman.<br \/>\nPhoto: AFP \/ John Macdougall\n<\/p>\n<p>By Deepa Seetharaman and Kenrick Cai, Reuters<\/p>\n<p>Musk seeks $150 billion damages for OpenAI&#8217;s charitable arm<br \/>\n OpenAI says Musk wanted power, not focused on AI safety<br \/>\nMusk&#8217;s social media use questioned by judge<br \/>\nTrial could affect OpenAI IPO, public perception of AI<br \/>\nVerdict possible by mid-May<\/p>\n<p>Elon Musk took the stand at a high-stakes trial over the future of OpenAI, casting his lawsuit as a defence of the institution of charitable giving.<\/p>\n<p>Musk, the world&#8217;s richest person, <a href=\"https:\/\/www.rnz.co.nz\/news\/world\/593527\/elon-musk-s-trial-against-sam-altman-to-reveal-the-ongoing-power-struggle-for-openai\" rel=\"nofollow noopener\" target=\"_blank\">is suing OpenAI, its co-founder and chief executive Altman<\/a> and its president Greg Brockman, saying they betrayed him and the public by abandoning the ChatGPT maker&#8217;s mission to be a benevolent steward of AI for humanity, and transforming the nonprofit into a profit-seeking juggernaut.<\/p>\n<p>&#8220;If we make it okay to loot a charity, the entire foundation of charitable giving in America will be destroyed. That&#8217;s my concern,&#8221; Musk said in initial remarks on Tuesday (local time), going on to describe his own life history.<\/p>\n<p>Bill Savitt, a lawyer for OpenAI and Altman, said it was Musk who saw dollar signs as he helped finance OpenAI&#8217;s early growth and pushed it to become a for-profit business, one he might eventually lead as CEO.<\/p>\n<p>Savitt said Musk wanted &#8220;the keys to the kingdom&#8221;, and sued only after he failed and then in 2023 started his own AI business, xAI.<\/p>\n<p>&#8220;What he cares about is Elon Musk being on top,&#8221; Savitt said in his opening statement. &#8220;We are here because Mr Musk didn&#8217;t get his way at OpenAI.&#8221;<\/p>\n<p>OpenAI&#8217;s lawyer also framed OpenAI&#8217;s March 2019 creation of a for-profit entity as critical to letting it buy computing power and pay top scientists to stay competitive with Google&#8217;s DeepMind AI lab.<\/p>\n<p>Musk&#8217;s lawyer Steven Molo told jurors in his opening statement it was the OpenAI defendants who wanted riches for themselves, as OpenAI began drawing investors including Microsoft.<\/p>\n<p>&#8220;The defendants in the case stole a charity, and we&#8217;re asking you to hold them accountable,&#8221; Molo said during his opening statement. &#8220;It wasn&#8217;t a vehicle for people to get rich.&#8221;<\/p>\n<p>Musk, the Tesla and SpaceX founder, is seeking US$150 billion in damages from OpenAI and Microsoft, one of its largest investors, with proceeds going to OpenAI&#8217;s charitable arm.<\/p>\n<p>He also wants OpenAI to revert to a nonprofit, with Altman and Brockman removed as officers and Altman removed from its board. Musk&#8217;s claims include breach of charitable trust and unjust enrichment.<\/p>\n<p>Judge admonishes Musk over social media use<\/p>\n<p>Before jurors were seated, US District Judge Yvonne Gonzalez Rogers admonished Musk after OpenAI lawyers complained about his posts on X on Monday (local time), in which he assailed Altman as &#8220;Scam Altman&#8221; and accused him of stealing a charity.<\/p>\n<p>Rogers said she was loath to issue a gag order, but urged Musk to &#8220;try to control your propensity to use social media to make things work outside the courtroom \u2026 Perhaps you&#8217;ve never done that before.&#8221;<\/p>\n<p>Musk agreed to minimise his social media activity, as did Altman. Both are expected to testify at trial, as is Microsoft chief Satya Nadella.<\/p>\n<p>The trial could offer a window into some of the egos and personalities that shaped OpenAI as it evolved from a nonprofit research lab in Brockman&#8217;s apartment to a company worth more than $850 billion.<\/p>\n<p><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/www.newsbeep.com\/nz\/wp-content\/uploads\/2026\/03\/4JRDSAW_AFP_OpenAI_jpg.jpeg\" width=\"1050\" height=\"699\" alt=\"The OpenAI logo is displayed on a mobile phone screen, in February 2026.\"\/><\/p>\n<p class=\"photo-captioned__information\">\nOpenAI was co-founded by Musk and Altman in 2015 with a goal of developing AI to benefit humanity and fend off rivals such as Google.<br \/>\nPhoto: AFP\/ NurPhoto &#8211; Jonathan Raa\n<\/p>\n<p>It also risks complicating OpenAI&#8217;s plans for a potential initial public offering by casting doubt on its leadership, and could intensify Americans&#8217; fears about AI technology more broadly.<\/p>\n<p>OpenAI was co-founded by Musk and Altman in 2015 with a goal of developing AI to benefit humanity and fend off rivals such as Google.<\/p>\n<p>Lawyers dispute importance of AI safety to Musk<\/p>\n<p>Molo said &#8220;Elon became more worried&#8221; as the technology advanced, and collaborated with Altman to &#8220;develop AI safely&#8221; after a meeting with US President Barack Obama in 2015 did not address AI&#8217;s risks. Recruiting top AI scientists like Ilya Sutskever was part of that process, Molo said.<\/p>\n<p>Savitt countered that AI safety wasn&#8217;t a priority for Musk, and that Musk denigrated OpenAI employees who focused on it. &#8220;Jackasses is what he called them,&#8221; Savitt said.<\/p>\n<p>Musk has said he provided about US$38 million to OpenAI for its original mission, only to see OpenAI create a for-profit entity 13 months after he left its board.<\/p>\n<p>Molo said a major turning point for Musk came when Microsoft invested US$10 billion in OpenAI in January 2023. &#8220;It violated every commitment (the defendants) made, not just to Elon, but to the world,&#8221; he said.<\/p>\n<p>Russell Cohen, a lawyer for Microsoft, said that company didn&#8217;t do anything wrong.<\/p>\n<p>&#8220;Microsoft has been a responsible partner every step of the way,&#8221; Cohen said in his opening statement.<\/p>\n<p>OpenAI recently overhauled structure again<\/p>\n<p>OpenAI also faces growing competition from rivals including Anthropic, and is spending billions on computational resources. A potential IPO could value the company at US$1 trillion, Reuters has reported.<\/p>\n<p>Musk&#8217;s xAI trails far behind OpenAI in usage. He has folded that business into SpaceX, whose own potential IPO this year could be the largest ever.<\/p>\n<p>Last fall, OpenAI overhauled its structure again to become a public benefit corporation, in which the nonprofit and other investors including Microsoft hold stakes. The nonprofit holds a 26 percent stake, plus warrants if OpenAI hits certain valuation targets.<\/p>\n<p>A public benefit corporation could make OpenAI more investor-friendly while retaining its charitable origins.<\/p>\n<p>&#8211; Reuters<\/p>\n","protected":false},"excerpt":{"rendered":"Elon Musk and OpenAI CEO Sam Altman. Photo: AFP \/ John Macdougall By Deepa Seetharaman and Kenrick Cai,&hellip;\n","protected":false},"author":2,"featured_media":402302,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[365,363,364,48,47,111,43,139,69,49,46,44,45,145],"class_list":["post-402301","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-audio","tag-current-affairs","tag-new-zealand","tag-news","tag-newzealand","tag-nz","tag-podcasts","tag-public-radio","tag-radio-new-zealand","tag-rnz","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/402301","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=402301"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/402301\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/402302"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=402301"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=402301"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=402301"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}