The high-profile clash between
#ElonMusk ,
#OpenAI and
#Microsoft has entered a critical phase, with the Tesla and SpaceX chief now seeking between $79 billion and $134 billion in damages. The claim stems from allegations that OpenAI abandoned its original nonprofit mission and commercially aligned itself with Microsoft in a way that unfairly sidelined its co-founder.
🧾 What Musk Is Claiming
According to court filings cited in recent reports, Musk argues that OpenAI’s transformation into a profit-driven enterprise deprived him of value tied to his early financial and strategic contributions.
📌 Key assertions include:
OpenAI’s current valuation is estimated at $500 billion
Musk contributed $38 million during the company’s formative years
He also provided extensive technical insight and business guidance
These contributions, Musk claims, entitle him to a share of the company’s gains
A federal judge has already cleared the path for a jury trial scheduled for late April, rejecting efforts by OpenAI and Microsoft to dismiss the case.
📊 How the Damages Were Calculated
The damages estimate was prepared by financial economist C. Paul Wazzan, named as an expert witness in the case.
🔍 The analysis reportedly attributes:
$65.5B to $109.4B in alleged wrongful gains to OpenAI
$13.3B to $25.06B to Microsoft
Musk’s legal team contends that early contributors to transformative startups often see returns vastly exceeding their initial investment — and that the same principle applies here.
🧠 A Relationship That Turned Sour
Musk exited OpenAI’s board in 2018 but became increasingly vocal after the launch of ChatGPT in 2022, criticizing what he describes as a shift away from openness and safety.
Since then:
Musk has founded xAI, creator of the Grok chatbot
He has accused OpenAI of becoming a closed, profit-maximizing entity
He has openly clashed with OpenAI CEO Sam Altman
OpenAI, however, maintains that Musk departed after failing to secure full control of the company and has previously alleged that he wanted to merge it with Tesla.
🏛️ OpenAI Pushes Back
OpenAI has firmly rejected Musk’s claims, calling the lawsuit groundless and characterizing it as part of a broader pattern of harassment.
🗣️ In a statement, the company said it looks forward to presenting its case in court and warned investors that further provocative claims could surface as the trial approaches.
🧩 The Bigger Picture
Last year, OpenAI announced its shift to a Public Benefit Corporation (PBC) structure. Under the arrangement:
Microsoft received a 27% economic stake
The nonprofit parent retained oversight control
This restructuring now sits at the heart of Musk’s legal challenge — one that could reshape how founder rights, nonprofit missions, and Big Tech partnerships are viewed in the AI era.
🔮 What Comes Next?
With billions at stake and a jury trial looming, the case is set to become one of the most consequential legal showdowns in the artificial intelligence industry — pitting a tech titan against the very organization he helped create.
⚖️ The verdict could redefine not just ownership, but the future governance of AI itself.
THANKYOU 🙏