Key Takeaways
- OpenAI CEO Sam Altman delivered approximately four hours of testimony in the Elon Musk vs. Altman federal lawsuit in Oakland, California
- Altman’s testimony countered Musk’s narrative, asserting that Musk walked away from OpenAI rather than being betrayed
- According to Altman, Musk demanded complete majority ownership of OpenAI, a request that made him “extremely uncomfortable”
- Defense attorneys questioned Altman’s credibility, referencing previous allegations of dishonesty from former colleagues
- The trial moves to closing arguments Thursday; the jury will deliver an advisory verdict only
Sam Altman, the chief executive of OpenAI, appeared in federal court Tuesday to defend against Elon Musk’s allegations that he and other leadership betrayed the artificial intelligence company’s founding nonprofit principles.
During roughly four hours on the witness stand at Oakland’s federal courthouse, Altman delivered a clear counter-narrative: Elon Musk wasn’t a victim of betrayal—he chose to leave.
“We were kind of left for dead,” Altman stated during his testimony.
The legal battle originates from a 2024 complaint filed by Musk against OpenAI, its CEO Sam Altman, and president Greg Brockman. Musk’s lawsuit alleges the trio diverted the organization from its nonprofit foundation. Additionally, Musk contends his approximately $38 million in contributions were repurposed for commercial ventures without his consent.
Altman maintained under oath that he never guaranteed Musk that OpenAI would remain exclusively nonprofit. Instead, he characterized their split as a fundamental disagreement about the company’s future, with Musk ultimately losing confidence in OpenAI’s potential.
To support his account, Altman referenced a December 2018 message from Musk stating: “My probability assessment of OpenAI being relevant to DeepMind/Google without a dramatic change in execution and resources is 0%. Not 1%.”
Altman described these words as “burned into my memory.”
Battle Over Leadership Authority
A significant portion of Altman’s testimony centered on Musk’s insistence on obtaining majority ownership of any for-profit iteration of OpenAI. According to Altman, Musk demanded controlling power and offered only vague suggestions that his stake might eventually decrease.
Altman expressed skepticism about such promises materializing. “My belief is he wanted to have long-term control,” he told the court.
He recounted what he termed a “hair-raising” exchange when fellow co-founders questioned what would become of OpenAI if Musk passed away while maintaining control. Musk allegedly responded casually, indicating his children might inherit the company.
Altman emphasized that OpenAI’s foundational principle was preventing any individual from wielding complete authority over artificial general intelligence. This philosophy made Musk’s demands unacceptable.
During negotiations, Musk suggested integrating OpenAI with Tesla. Altman dismissed this proposal, arguing that Tesla’s identity as an automotive manufacturer made it unsuitable for advancing OpenAI’s objectives.
Musk officially departed OpenAI’s board in February 2018. According to Altman, some team members welcomed the departure as a “morale boost,” though others feared Musk might pursue “vengeance.”
Questions About Truthfulness
Steven Molo, representing Musk, used his cross-examination to challenge Altman’s reliability as a witness. He began by directly asking: “Are you completely trustworthy?” Altman initially responded “I believe so,” before changing his answer to an unqualified yes.
Molo confronted Altman with previous accusations from former associates, including Anthropic’s founder Dario Amodei, and cited Monday’s testimony from Ilya Sutskever, OpenAI’s former chief scientist, who claimed to have documented what he characterized as a pattern of misleading behavior by Altman.
Altman also discussed his temporary ousting as CEO in 2023. He described the episode as an “incredible betrayal” and said the board provided minimal justification beyond claims he hadn’t been forthcoming with them.
“I had poured the last years of my life into this,” Altman testified. “I was watching it about to be destroyed.”
OpenAI currently carries a private market valuation exceeding $850 billion. Musk’s lawsuit seeks the removal of both Altman and Brockman from their positions and demands over $130 billion be transferred to OpenAI’s nonprofit arm. Final arguments are scheduled for Thursday. While the jury will render a verdict, Judge Yvonne Gonzalez Rogers retains ultimate decision-making authority.
