Musk mulled handing OpenAI to his children, Altman testifies

In a dramatic courtroom session today, Sam Altman, CEO of OpenAI, took the stand to address allegations made by his former cofounder, Elon Musk. Musk's lawsuit questions the structure of OpenAI, asserting that its founders misappropriated charitable intentions when they transitioned to a for-profit model to commercialize AI technologies. Responding to Musk's claims, Altman expressed disbelief, stating, "It feels difficult to even wrap my head around that framing." He emphasized OpenAI's substantial contributions to charity, highlighting the foundation's impressive work and its current assets, which are estimated to be around $200 billion. While Musk's legal team pointed out that OpenAI's foundation had no full-time employees until recently, Altman explained that this was due to the complexities of converting equity to cash during their restructuring in 2025. A pivotal concern raised by Musk's attorneys is whether OpenAI has compromised its commitment to safety amidst its growing commercial influence. Altman revealed that during discussions in 2017 about funding their AI innovations, Musk's views on safety caused him considerable concern. He recounted a particularly unsettling moment when Musk suggested that control of OpenAI should potentially pass to his children if he were to die, a notion that alarmed Altman given OpenAI's mission to prevent advanced AI from being controlled by a single individual. Altman was candid about his reservations regarding Musk's management style, which he felt was more suited to engineering firms than a research lab. He noted that Musk's demands had demotivated key researchers, damaging the organization's culture. "I don't think Mr. Musk understood how to run a good research lab," Altman remarked, referencing Musk's controversial request for a ranking of researchers based on their accomplishments. As tensions mounted, Musk eventually departed from OpenAI's board to pursue AI projects at Tesla and his own venture, xAI. However, Altman maintained lines of communication, keeping Musk informed about OpenAI's progress and seeking his support. Notably, during a 2018 meeting regarding a Microsoft investment, Altman recalled a positive interaction with Musk, characterized by lighthearted exchanges and meme-sharing, contrasting sharply with the current legal disputes over OpenAI's direction.