Tesla CEO Elon Musk lost its lawsuit against Open AI with a California jury on Monday said that world’s richest person waited too long to sue. According to the US jury findings, the artificial intelligence company not liable to the Musk for having allegedly strayed from its original mission to benefit humanity.
Musk Accused OpenAI Of ‘Stealing A Charity’
Musk, who co-founded and initially funded OpenAI with around $38 million, had filed the lawsuit in February 2024 against CEO Sam Altman, president Greg Brockman and the company, alleging they “stole a charity” by shifting OpenAI toward a for-profit structure.
Microsoft was also named as a co-defendant for allegedly aiding the transition through its investments in OpenAI. Musk left the company in 2018 and later launched his own AI venture, xAI, in 2023.
During the trial earlier this month, Musk told the court, “I was a fool. I gave them free funding to create a startup.”
Although the jury’s decision was advisory, Judge Yvonne Gonzalez Rogers indicated she was likely to follow the verdict, saying there was “substantial evidence” backing the jury’s conclusion.
Major Legal Win For OpenAI
The ruling marks a significant legal victory for OpenAI as the company explores plans for a potential blockbuster IPO.
OpenAI argued that Musk filed the lawsuit only after launching a competing AI company, and jurors agreed he had been aware of the company’s actions since at least 2021.

