Jury weighs Musk case that could threaten OpenAI for-profit structure, Microsoft ties
A California jury is deliberating Elon Musk’s case against OpenAI co-founders and Microsoft, with a verdict potentially threatening OpenAI’s for-profit structure and its commercial partnership with Microsoft. If Musk prevails, the judge is set to begin hearings the week of May 18, 2026, to determine possible remedies. Musk’s lawyers argue OpenAI violated its original charitable mission after Microsoft invested $10 billion in 2023, saying the deal enriched investors and founders while weakening nonprofit oversight. They cite Microsoft’s contractual veto rights and involvement in Sam Altman’s 2023 reinstatement as evidence of commercial influence. OpenAI says Musk’s donations were unrestricted, fully used by 2020 and no longer subject to any charitable trust by August 05, 2021. Its lawyers argue the for-profit affiliate supports the nonprofit mission, citing nearly $200 billion in equity value, free ChatGPT access and AI safety work. OpenAI also says Musk knew the structure years earlier, left in 2018 and sued only after launching competing AI efforts.