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“Sam Altman defends OpenAI in US court, but Elon Musk’s legal battle persists”

(Reasoning: Adds key actors [Altman, Musk, OpenAI], location [US court], and clarifies the conflict while keeping it concise and SEO-friendly.)

Business

“Sam Altman defends OpenAI in US court, but Elon Musk’s legal battle persists”

(Reasoning: Adds key actors [Altman, Musk, OpenAI], location [US court], and clarifies the conflict while keeping it concise and SEO-friendly.)

Nexio Studio Newsroom
Last updated: May 12, 2026 7:55 pm
By Nexio Studio Newsroom 7 Min Read
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Sam Altman Takes the Stand in High-Stakes OpenAI Trial: A Battle Over Control, AI, and Vengeance

In a dramatic turn of events that has captivated Silicon Valley and the global tech community, Sam Altman, the enigmatic CEO of OpenAI, took the witness stand this week in a contentious legal battle with billionaire Elon Musk. The trial, which has unfolded over weeks of intense scrutiny, revolves around accusations that Altman and OpenAI betrayed their nonprofit mission by pursuing a for-profit structure while allegedly sidelining Musk’s influence. As the jury heard from Altman himself, the stakes became clear: this case is not just about legal culpability but also a clash of egos, visions, and the future of artificial intelligence (AI).

The courtroom drama follows Musk’s lawsuit, which alleges that OpenAI, co-founded by Musk and Altman in 2015, deviated from its original purpose of developing artificial general intelligence (AGI) for the benefit of humanity. Musk claims that OpenAI’s pivot to a lucrative for-profit model, backed by Microsoft, constitutes a breach of trust and mission. Altman, however, painted a different picture during his testimony, asserting that Musk’s insistence on total control over OpenAI was the root of their conflict.

The Testimony: Altman’s Defense
Altman, often described as polished and charismatic, appeared visibly nervous at the start of his testimony but quickly regained his composure. Dressed in a crisp suit and carrying a stack of evidence binders, he projected the image of a diligent executive caught in an unexpected storm. When questioned by his lawyer, William Savitt, about the accusations of stealing a charity, Altman responded with a mix of humility and defiance.

“We created, through a ton of hard work, this extremely large charity,” Altman said. “And I agree, you can’t steal it. Mr. Musk did try to kill it, I guess. Twice.”

Altman’s testimony centered on Musk’s alleged attempts to exert control over OpenAI’s direction. He recounted discussions in the wake of OpenAI’s groundbreaking victory in the Dota 2 AI competition, where Musk reportedly insisted on total ownership of any for-profit arm. “Mr. Musk felt very strongly that if we were going to form a for-profit, he needed to have total control over it initially,” Altman testified. “He only trusted himself to make non-obvious decisions that were going to turn out to be correct.”

This insistence on control, Altman argued, was antithetical to OpenAI’s founding principle: to prevent any single entity from monopolizing AGI. He drew parallels to Musk’s other ventures, such as SpaceX, where Musk’s control is absolute. In a particularly striking moment, Altman revealed that Musk had once mused about passing control of OpenAI to his children in the event of his death—a suggestion Altman described as “hair-raising.”

The Musk Factor: Allegations and Counterclaims
Throughout the trial, Musk’s legal team has sought to paint Altman as untrustworthy, citing past allegations of deceit and manipulation. During cross-examination, attorney Steven Molo pressed Altman on claims made by former OpenAI employees and partners, including co-founder Ilya Sutskever and others at Anthropic, a rival AI company founded by former OpenAI staff. Molo also referenced a lengthy New Yorker article that detailed Altman’s alleged history of dishonesty.

Altman, however, held his ground. He acknowledged that he hadn’t closely followed all the testimony in the trial but maintained that his focus remained on OpenAI’s mission. When Molo questioned Altman’s dual role as CEO and board member—implying a potential conflict of interest—Altman calmly noted that such arrangements are standard in corporate governance.

The trial also spotlighted Musk’s broader motivations. Emails and texts presented in court showed Musk’s attempts to recruit Altman and other OpenAI leaders to Tesla, where he hoped to bolster the carmaker’s AI capabilities. Altman interpreted these overtures as a “lightweight threat,” suggesting Musk was prepared to pursue AI advancements at Tesla with or without OpenAI’s cooperation.

The Financial and Ethical Quandary
One of the trial’s pivotal issues is OpenAI’s transition from a nonprofit to a for-profit entity. Musk’s legal team argued that OpenAI could have continued as a nonprofit, citing Stanford University’s ability to raise billions annually. Altman and his counsel countered that such comparisons were flawed, emphasizing the unique demands of AI development, particularly the insatiable need for computing power.

“If compute is the main bottleneck on building AI models, then OpenAI never would have managed to be successful as a nonprofit alone,” Altman’s defense argued. The Microsoft partnership, which injected billions into OpenAI, was framed as a necessary step to stay competitive in the rapidly evolving AI landscape.

The Aftermath: A Battle Beyond the Courtroom
While the jury’s verdict remains uncertain, the trial has already achieved one of Musk’s apparent objectives: to tarnish Altman’s reputation and OpenAI’s public image. Articles and political inquiries have amplified Musk’s narrative, casting Altman as a scheming opportunist. The Wall Street Journal recently reported that Republican attorneys general and the House Oversight Committee are investigating Altman’s financial dealings, a development linked to the trial’s proceedings.

Despite the mudslinging, Altman’s testimony appeared to resonate with the jury. His calm demeanor and well-documented responses lent credibility to his version of events. Whether it will be enough to secure a legal victory remains to be seen.

Conclusion: A Clash of Titans
The OpenAI trial is more than a legal dispute; it’s a microcosm of the broader tensions shaping the AI industry. As Altman and Musk spar over control, ethics, and ambition, the case underscores the high stakes of developing transformative technologies. For now, the courtroom serves as the battleground, but the repercussions of this feud will ripple far beyond its walls. Whether Altman emerges unscathed or Musk’s campaign of retribution prevails, one thing is certain: the fight for the future of AI is far from over.

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