Elon Musk’s lawsuit against OpenAI will face a jury in March

Elon Musk's ongoing legal dispute with OpenAI is set to be heard by a jury in March, following a ruling from a U.S. judge indicating there is sufficient evidence to support Musk's claims. The billionaire entrepreneur filed the lawsuit against OpenAI and its co-founders, Sam Altman and Greg Brockman, in 2024, accusing them of violating their initial contractual agreements by prioritizing profits over the nonprofit mission aimed at developing beneficial AI for humanity. Musk, who played a pivotal role as an early investor and co-founder of OpenAI, has since launched his own for-profit venture, xAI. In 2018, he stepped down from OpenAI's board after his attempt to become CEO was thwarted by the other co-founders, who chose Altman for the position instead. Officially, Musk cited potential conflicts of interest with Tesla's AI initiatives for self-driving vehicles as a reason for his departure. Since leaving OpenAI, Musk has been an outspoken critic of the organization’s shift towards a for-profit model. Notably, he made a staggering $97.4 billion unsolicited offer to acquire OpenAI in February 2025, which was ultimately turned down by Altman. OpenAI, established in 2015 as a nonprofit research entity, began to deviate from its original model in 2019 when it created a for-profit subsidiary with a capped-profit structure designed to secure necessary funding and attract top-tier talent. Despite Musk's attempts to challenge OpenAI's transformation, his lawsuit did not prevent the organization from completing its transition to a for-profit entity. In October 2025, OpenAI formalized its restructuring, establishing its for-profit branch as a Public Benefit Corporation, while the original nonprofit retained a 26% equity stake. Musk is now pursuing financial compensation for what he claims are profits obtained by OpenAI through misleading practices. He asserts that his early investment of approximately $38 million was made with the understanding that OpenAI would maintain its nonprofit status. In response, an OpenAI spokesperson labeled Musk's lawsuit as "baseless" and part of a broader pattern of harassment. District Judge Yvonne Gonzalez Rogers noted that evidence supporting Musk's claims about assurances regarding OpenAI's nonprofit structure influenced her decision to proceed to trial. The jury trial is tentatively set for March.