Elon Musk lost a staggering $150 billion lawsuit against OpenAI and its CEO Sam Altman on Thursday, with a jury ruling squarely in favor of the artificial intelligence company Musk himself co-founded more than a decade ago. The verdict caps a legal battle that saw the world's richest man go after the firm he helped launch, alleging it had strayed from its original nonprofit mission.
A $150 billion claim
Musk had sued OpenAI and Altman for $150 billion, arguing that the company had abandoned its founding promise to develop AI for the public good and instead become a profit-driven enterprise closely tied to Microsoft. The lawsuit, filed in federal court, claimed breach of contract and fiduciary duty. Musk's legal team painted OpenAI as a betrayal of the nonprofit ideals he said were central to its creation in 2015.
The jury's decision
After a trial that stretched over several weeks, the jury sided with OpenAI on all counts. The panel rejected Musk's contention that the company had wrongfully broken its original charter. In their verdict, they found no evidence that OpenAI or Altman had acted in bad faith or violated any binding agreement. The decision was unanimous.
From co-founder to plaintiff
Musk was an early co-founder of OpenAI and donated $100 million to launch the lab. He left the board in 2018, citing conflicts with his work at Tesla. The relationship soured further when OpenAI shifted from a nonprofit to a "capped-profit" structure and took billions from Microsoft. Musk later founded his own AI venture, xAI, which competes directly with OpenAI. The trial exposed deep personal and professional fissures between Musk and Altman, who once worked closely together.
Case closed
The verdict brings a definitive end to the largest individual lawsuit in the history of the AI industry. No further court dates are scheduled. For now, OpenAI remains free to operate under its current structure, and Musk is left with a $150 billion loss on paper — and a legal defeat that underscores just how far the company has moved from its roots.
