Elon Musk loses lawsuit against OpenAI, Microsoft & Sam Altman

A major legal fight between Elon Musk and OpenAI has officially ended in favor of the AI company. A California jury unanimously ruled against Musk today, dealing a massive blow to his long-running accusations involving Sam Altman, Greg Brockman, and Microsoft.

Jury rules in favor of OpenAI because Musk filed the lawsuit too late

For those unaware, Musk had accused OpenAI of abandoning its original nonprofit mission after transitioning toward a for-profit business structure. He also claimed Microsoft played a role in helping OpenAI move away from what he described as its original charitable purpose.

However, the courtroom battle ultimately didn’t revolve around whether OpenAI changed directions. Rather, the case largely collapsed because the jury agreed Musk filed the claims too late. OpenAI’s legal team heavily leaned on statute-of-limitations arguments throughout the trial.

According to the company, any alleged damage or misconduct related to Musk’s accusations happened years before the lawsuit was filed. The jury apparently found that argument persuasive enough to return a unanimous decision fairly quickly. That’s not all; during discussions around potential damages, Judge Yvonne Gonzalez Rogers also questioned Musk’s legal arguments.

Musk’s team reportedly attempted to compare his OpenAI contributions to investments in a traditional startup. At one point, the judge criticized expert calculations linked to the case, reportedly saying the analysis lacked proper connection to the underlying facts.

The legal battle may not be over just yet

Meanwhile, Microsoft welcomed the outcome and reaffirmed its partnership with OpenAI. Musk’s attorney, Marc Toberoff, responded with a short statement, “One word: Appeal” when TechCrunch reached out, hinting the legal fight may not be over yet.