He lost. Badly.
A federal jury and US district judge Yvonne González Rogers agreed on one thing. Elon Musk waited too long. He sat on his claims against OpenAI, Sam Altman, and Greg Brockman until the statute of limitations expired. Then he filed in 2024 by which point the clock had run out.
The jury in Oakland deliberated for less than two hours. Unanimous verdict. Dismissal on procedural grounds. No merits discussed. The judge didn’t hesitate. She accepted the nonbinding jury recommendation and made it final immediately.
Musk’s lawyer, Steven Molo, said they’d appeal. Marc Toberoff gave a one-word soundbite to reporters. “Appeal.” Later he compared this loss to early Revolutionary War defeats. The Siege of Charleston. Bunker Hill. Hard hits. But the war wasn’t over. Is that a comfort or delusion?
OpenAI’s team hugged in the courtroom. Lead litigator William Savitt called the evidence against Musk overwhelming. A competitor’s after-the-fact contrivance. The jury saw right through it.
“The evidence that Mr. Musk’s lawsuit was an after-the-fact … was overwhelming”
Judge González Rogers said the global spectacle was worthwhile. Needed for clarity. Plenty of evidence supported the finding.
It wasn’t really a technicality in spirit. Savitt insisted it was substantive. You bring claims late to weaponize them when you can’t compete in the marketplace. Microsoft issued a statement. Facts and timeline are clear. They’re still scaling AI with OpenAI.
Musk, Altman. Brockman weren’t there. Musk stayed silent during trial per court order.
Here’s the sting for OpenAI though. The trial cost time. Reputation damage. Tens if not hundreds of hours for Altman and Brockman pulled away from day jobs. Depositions. Witness stands. Court appearances. Details emerged. Brockman’s wealth. Alleged dishonesty by Altman. Public image takes hits under scrutiny.
Musk barely showed up. Three days total. Then he vanished. Flew to China for President Trump’s state visit right after. Savitt found it surprising. Left the jurisdiction instead of facing the jury. A flex? A dismissal of the court’s importance?
Two tech billionaires. Broken partnership. Bravado competition. Now chasing similar generative AI futures despite the fallout. Musk tried to settle just before trial started. Got rebuffed.
The Trial Backstory
Twelve days of testimony. OpenAI kept pointing at thin evidence for Musk’s version.
Remember how they started? 2012. Nonprofit. Moral high ground against Google. Keep AI from destroying humanity instead of chasing shareholder value. Musk. Young Altman. Thought this mission-driven approach would attract researchers and public love.
They misjudged the money. Nonprofits struggle to fund AGI development. The costs explode.
Musk donated $38 million from 2015 through 2019. He claimed in suit that Altman and Brockman misused it. Spent on groundbreaking research. Then shifted expertise to a for-profit subsidiary he hated.
But wait. Musk agreed to that subsidiary’s creation early on. He backed out after losing a bid to control it. Not because of a sudden evil plot. Just business mechanics shifting.
Microsoft dropped $10 billion initially. Then more. ChatGPT exploded in 2022 into household name territory. Musk got angry. Created rival xAI in 2021. Laid groundwork for the 2024 federal suit.
At trial Musk claimed his doubts about the for-profit shift emerged only in 2023. Court records tell a different story. Doubts surfaced earlier. He had chances to file sooner. Didn’t.
The jury included a nurse aide. Retiree. City worker. Some admitted unfavorable views of Musk beforehand. Still took copious notes. Asked questions through González Rogers. Kept eyes open.
And now the door slams. For now. Appeals loom. Musk keeps talking to public. Argues the core claim was ignored. The jury never said he didn’t lose the nonprofit mission. Only said he was late. Savitt laughs that off. Calls it a lie. But litigation drags. Always drags.
Who knows where it ends next? Probably courtrooms for years. Maybe somewhere else. Maybe nowhere at all. The tech world keeps turning either way. AI keeps shipping.
