Musk drops fraud claims against OpenAI, Altman ahead of trial

8 hours ago 1

Elon Musk dropped his fraud claims against OpenAI and co-founders Sam Altman and Greg Brockman, narrowing the scope of his lawsuit against his business rivals on the eve of trial.

US District Judge Yvonne Gonzalez Rogers on Friday agreed to Musk’s request to “streamline” the case, leaving just two claims to proceed to trial of the 26 included in his November 2024 complaint

Jury selection is set for Monday in federal court in Oakland, California. Musk alleges the artificial intelligence startup abandoned its founding mission as a nonprofit to benefit humanity when it took billions of dollars in backing from Microsoft Corp. and planned its restructuring as a for-profit business.

Musk is seeking as much as $134 billion in damages that he has asked be directed to OpenAI’s charitable arm, if he wins at trial. He also wants a court order restoring the firm’s status as a nonprofit research organization and wants a judge to order that Altman and Brockman both be removed from their roles at OpenAI. Altman is chief executive officer and Brockman serves as president.

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