Elon Musk sparred with Sam Altman’s lawyers over the timing of his decision to sue OpenAI and whether he knew about the company’s discussions to turn it into a commercial enterprise during cross-examination in his lawsuit that could decide the future of the ChatGPT maker.
The world’s richest man claims that OpenAI, co-founder and CEO Sam Altman, and president Greg Brockman solicited $38 million ($53 million) in donations and personal support by pledging to create a non-profit organization that would prioritize the safe development of AI, before turning to creating a for-profit organization to enrich us all.
William Savitt, an attorney for OpenAI, Altman and Brockman, asked Musk whether he had read the term sheet that Altman sent him on August 31, 2017, related to OpenAI’s transition from a nonprofit organization to a for-profit organization overseen by a nonprofit organization.
“My testimony is that I didn’t read the fine print, I just read the headlines,” Musk said, wearing a dark suit, dark plain tie and white shirt.
“Obsession with control”
OpenAI said Musk, the CEO of Tesla and SpaceX, was driven by an obsession with controlling OpenAI and was bitter about the company’s success after stepping down from the board in 2018. Musk also said he hasn’t prioritized safety issues during his tenure and is looking to strengthen his AI company, SpaceX’s xAI division, which has lagged behind OpenAI in user adoption.
OpenAI has pioneered the widespread use of AI with its ChatGPT chatbot and raised billions of dollars from investors to build computing power ahead of a potential multi-trillion dollar IPO. Musk is seeking fundamental changes to the company’s governance and $150 billion in damages.
Mr. Musk at times expressed dissatisfaction with Mr. Savitt’s cross-examination.
“There are very few perfect answers, especially if you cut me off all the time,” Musk said.
U.S. District Judge Yvonne Gonzalez Rogers later reprimanded Savitt for not letting Musk answer questions, but rejected Musk’s claims that his lawyer was leading the questioning.
Musk was asked why he didn’t sue OpenAI sooner, and how and why he didn’t realize that OpenAI would become a commercial entity. Savitt repeatedly pointed to emails sent to Musk from other OpenAI founders that show them discussing whether OpenAI’s technology could be closed sourced or monetized at some point.
“I was reassured by Sam Altman and others that OpenAI would continue as a nonprofit organization,” Musk said.
During questioning, Musk also said that his company, xAI, uses OpenAI to train its models, adding: “It’s standard practice to use other AI to validate AI.”
Altman and Brockman watched intently in court during much of Mr. Musk’s testimony. Musk was dismissed after more than two hours of questioning, followed by close aide Jared Birchall who took the stand.
Founded in 2015, OpenAI has grown from a nonprofit lab in Brockman’s apartment to a company worth more than $850 billion with plans for a possible initial public offering.
Musk is seeking $150 billion in damages from OpenAI and one of its largest investors, Microsoft, with proceeds going to OpenAI’s charitable arm. Musk also wants OpenAI to become a nonprofit organization, with Altman and Brockman removed from the board, and Altman removed from the board. Musk’s claims include breach of charitable trust and unjust enrichment.
The trial begins Monday and is expected to last several weeks.
