Reported by Gold 101.3 FM – UAE’s No.1 Malayalam Radio Station
A US federal jury has ruled against billionaire entrepreneur Elon Musk in his high-profile lawsuit against OpenAI, handing a significant victory to the creators of ChatGPT after a closely watched courtroom battle in California.
The decision came Monday after a three-week trial in Oakland federal court, where Musk accused OpenAI and its leadership of abandoning the organization’s original nonprofit mission in favor of commercial profits.
The jury concluded that Musk filed the lawsuit too late under US legal time limits, effectively blocking the case before jurors could fully examine the core allegations. Judge Yvonne Gonzalez Rogers accepted the jury’s recommendation and officially dismissed the claims.
Musk had targeted OpenAI CEO Sam Altman, President Greg Brockman, the OpenAI Foundation, and tech giant Microsoft, arguing that the company’s transformation into a commercial AI powerhouse violated its founding principles.
According to Musk, his earlier financial contributions — reportedly around $38 million — were intended to support nonprofit AI research aimed at benefiting humanity, not building a profit-driven corporation.
The ruling removes a major legal threat hanging over OpenAI. Analysts say a Musk victory could have forced the company to return to nonprofit status, potentially disrupting future investment plans and business partnerships involving Microsoft, Amazon, and SoftBank.
Outside the courthouse, OpenAI attorney William Savitt described the lawsuit as an attempt to damage a competitor rather than a legitimate legal challenge. He said the jury found Musk’s arguments lacked factual support.
Musk reacted strongly on social media platform X, saying he plans to appeal the verdict because the jury “never ruled on the merits of the case.” He also criticized the judge, claiming the ruling set a dangerous precedent for charitable organizations in America.
During the trial, testimony highlighted tensions within OpenAI’s leadership and revisited controversies surrounding Sam Altman’s brief removal as CEO in 2023 before employees pushed for his reinstatement.
Legal experts say the verdict is a major boost for OpenAI as it continues expanding its dominance in artificial intelligence.
Technology analyst Dan Ives called the outcome a “major victory” for OpenAI and Sam Altman, adding that the lawsuit created more public drama than long-term business risk.
