Archive · 29 Jan 2026
Elon Musk Sues OpenAI for Billions
Elon Musk is suing OpenAI and Microsoft, saying that OpenAI tricked him into giving them money.
He gave them millions of dollars to start as a nonprofit, but later they became a regular company.
Musk wants a lot of money because he thinks they didn't keep their promise.
OpenAI says they told Musk they wanted to change, but he didn't like it.
There are lots of emails and notes from back then that show what happened.
The trial will start soon to figure out who is right.
Meanwhile, big companies like Nvidia, Amazon, and Microsoft are talking about investing up to $60 billion in OpenAI to help with the high costs of making AI smarter.
Elon Musk is suing OpenAI and Microsoft, seeking $79 billion to $134 billion in damages.
Musk claims OpenAI misled him about the company's nonprofit status and manipulated him into contributing tens of millions of dollars.
OpenAI alleges that Musk agreed to a for-profit structure in 2017 but refused to give up control.
Unsealed documents reveal internal communications, including emails and private journal entries, between Musk, OpenAI leaders, and Microsoft.
The trial is expected to begin in April 2024 in Oakland, California.
- Who
- Elon Musk, OpenAI, Microsoft, Nvidia, Amazon
- What
- Lawsuit alleging manipulation and breach of agreement, potential investments in OpenAI
- When
- Trial expected to start in April 2024, investment talks ongoing
- Where
- Oakland, California (trial), Global (investments)
- Why
- Musk claims OpenAI misled him about the company's nonprofit status and seeks damages for his early investments, while OpenAI is seeking significant investments to cover rising AI costs
Elon Musk's Perspective
OpenAI's Perspective
Company Structure
Elon Musk's Perspective
Musk claims OpenAI misled him about maintaining a nonprofit status.
OpenAI's Perspective
OpenAI alleges Musk agreed to a for-profit structure in 2017 but refused to give up control.
Financial Contributions
Elon Musk's Perspective
Musk seeks damages for his early investments, claiming manipulation.
OpenAI's Perspective
OpenAI asserts that Musk was aware of the changing structure and initialed the agreement.
- Plaintiff
- Elon Musk
- Defendants
- OpenAI, Microsoft
- Damages Sought
- $79 billion to $134 billion
- Trial Start Date
- April 2024
- Trial Location
- Oakland, California
- Musk's Initial Donation
- $38 million
- Microsoft's Stake in OpenAI
- 27%
- OpenAI's Potential Valuation
- $830 billion
- Potential New Investors
- Nvidia, Amazon, Microsoft
- Potential Investment Amount
- Up to $60 billion
