OpenAI Dismisses Elon Musk's Lawsuit as Baseless Power Grab

OpenAI Dismisses Elon Musk's Lawsuit as Baseless Power Grab

Synopsis

OpenAI has dismissed Elon Musk's latest lawsuit amendment as 'baseless,' accusing him of seeking power and money. Musk's filing, demanding Sam Altman's removal and a return to non-profit status, is seen by OpenAI as an ego-driven attempt to slow a competitor.
OpenAI has again criticised Elon Musk, and rejected his ‘baseless’ amendment to the lawsuit against the company, which demands the removal of CEO Sam Altman, among other things.

This comes on the back of Musk stating in his latest amendment that any compensation he receives in his case against OpenAI and Microsoft should go to OpenAI Foundation, the startup’s non-profit arm, rather than to him personally. Per The Wall Street Journal, Musk has sought over $150 billion in damages from the two companies.

Musk has also called for the removal of OpenAI president Greg Brockman, along with a transfer of Altman and Brockman’s equity to the nonprofit. Further, he is seeking a court order to revert OpenAI to its original non-profit structure, arguing that its shift to a for-profit model, backed by Microsoft, violated its founding mission.

This marks the latest escalation in their ongoing feud ahead of a trial in a federal court in Oakland, California, on April 27.

OpenAI’s response to the amended court filings

In a sharply-worded post, OpenAI called this move an attempt by Musk to reshape the narrative rather than strengthen his claims.

“Today, at the eleventh hour, Elon lodged a court filing pretending to change his tune about attacking the nonprofit OpenAI Foundation,” the company wrote on X on Wednesday.

It argued that the lawsuit reflects Musk’s broader ambition to gain influence and slow OpenAI, which he sees as a rival for his own startup xAI.

“The truth is that this case has always been about Elon generating more power and more money for what he wants. Having increasingly realised that his attempt to damage the nonprofit OpenAI Foundation rests on a baseless legal case, Elon is once again trying to change the narrative and save face as the trial approaches. His lawsuit remains nothing more than a harassment campaign that's driven by ego, jealousy, and a desire to slow down a competitor,” OpenAI added.

What's the feud about?

The dispute stems from OpenAI’s origins in 2015, when Musk and Altman co-founded the organisation as a non-profit focussed on benefiting humanity. After Musk’s departure in 2019, OpenAI created a for-profit subsidiary to attract investment. In 2024, Musk sued Altman and OpenAI alleging he was misled into donating $38 million on assurances that the organisation would remain a non-profit. The dispute has since escalated into a broader legal battle, accompanied by a public war of words and growing business rivalry between the two sides.

This editorial summary reflects ET Tech and other public reporting on OpenAI Dismisses Elon Musk's Lawsuit as Baseless Power Grab.

Reviewed by WTGuru editorial team.