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Federal Judge Criticizes Musk's Claims in OpenAI Lawsuit, Allows Case to Move Toward Trial

Elon Musk's efforts to block OpenAI's for-profit transition face skepticism from the court, but key allegations will proceed to a jury trial.

  • U.S. District Judge Yvonne Gonzalez Rogers expressed doubt over Elon Musk's claims of irreparable harm due to OpenAI's transition to a for-profit entity.
  • The judge described the case as 'billionaires versus billionaires' but allowed some of Musk's allegations, including claims of fraud and antitrust violations, to proceed to trial.
  • Musk alleges that OpenAI and Microsoft created monopoly-like conditions and betrayed OpenAI's nonprofit founding mission, while OpenAI denies these claims.
  • OpenAI's shift to a public benefit corporation aims to secure more funding for AI development, a move Musk contends undermines its original goals.
  • A jury trial is expected as early as late 2026, with Musk's rival AI company, xAI, also listed as a plaintiff in the lawsuit.
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