A U.S. federal judge has ruled that Elon Musk’s lawsuit against OpenAI can proceed to trial, finding sufficient evidence to support claims that the company departed from its original nonprofit commitments. Musk filed suit in 2024 against OpenAI and its co-founders Sam Altman and Greg Brockman, alleging they violated early agreements by prioritizing profit over the organization’s founding mission to develop artificial intelligence for the benefit of humanity.
Musk, an early backer and co-founder who invested approximately $38 million, resigned from OpenAI’s board in 2018 and has since criticized its shift toward a commercial structure. OpenAI began its transition in 2019 and completed a restructuring in October 2025, converting its for-profit arm into a Public Benefit Corporation while the nonprofit retained a minority stake.
U.S. District Judge Yvonne Gonzalez Rogers said the decision was based on evidence suggesting OpenAI’s leadership made assurances about preserving its nonprofit nature. Musk is seeking monetary damages, while OpenAI has rejected the claims. A jury trial has been tentatively scheduled for March.
