Elon Musk’s case against ChatGPT maker OpenAI, Sam Altman to go to trial; Fraudulent claims withdrawn

Elon Musk’s case against ChatGPT maker OpenAI, Sam Altman to go to trial; Fraudulent claims withdrawn

A US judge on Friday dismissed Elon Musk’s fraud claims accusing OpenAI and co-founder Sam Altman of betraying OpenAI’s core mission, but plans to proceed with a trial on Musk’s breach of charitable trust and unjust enrichment claims.

The ruling was issued by US District Judge Von Gonzalez Rogers in Oakland, California.

US markets

Powered byAppreciate

On 25 April 2026, 01:30 AM IST

S&P 500 Top Gainers

Intel82.54(23.60%)
Advanced micro devices347.81(13.91%)
Qualcomm148.85(11.12%)
Synopsisis 500.82(9.62%)

profiteers»

S&P 500 Top Losers

Charter Communications180.13(-25.50%)
Comcast27.56(-12.90%)
HCA Healthcare432.46(-8.77%)
Erie Indemnification233.62(-6.14%)

losers»

Jury selection is scheduled to begin Monday, and opening arguments are expected Tuesday.

Musk said that dismissing his fraud and constructive fraud claims, which he proposed, would streamline the case and allow judges to focus on their goal of ensuring that OpenAI benefits humanity rather than becoming a “wealth machine.”

The case centers on Musk’s claims that OpenAI, Altman and Microsoft, one of OpenAI’s largest investors, conned him and the public by creating a for-profit entity in 2019 after he left OpenAI’s board.


OpenAI is preparing for a possible initial public offering that could be valued at $1 trillion, Reuters reported.

According to a person involved in the case, Musk is seeking $150 billion in damages, with proceeds going to OpenAI’s charitable arm.

Add ET logo As a trusted and reliable news source
Google logo Add now!


(You can now subscribe to our ETMarkets WhatsApp channel)

Zeen Subscribe
A customizable subscription slide-in box to promote your newsletter
[mc4wp_form id="314"]