Musk Testifies at OpenAI Trial: ‘It’s Not OK to Loot a Charity’

Elon Musk took the stand on April 28, 2026, in the ongoing lawsuit against OpenAI, delivering sharp testimony in which he accused co-founder Sam Altman of betraying both him and the public by transforming a non-profit organization with a public mission into a profit-seeking enterprise.

Key Testimony

“It’s not OK to loot a charity,” Musk told the court. He emphasized that the outcome of the case extends beyond his personal interests, touching the very foundation of the charitable giving system.

Musk was a co-founder of OpenAI, which was established in 2015 as a non-profit organization with the stated mission of ensuring that artificial general intelligence (AGI) benefits all of humanity, rather than being monopolized by a small group. However, following the explosive success of ChatGPT and the broader AI boom, OpenAI transitioned to a “capped-profit” model in 2019 and subsequently attracted billions in investment from Microsoft.

The Core of the Dispute

Musk’s lawsuit centers on several key claims:

  1. Mission Drift: Musk alleges that OpenAI abandoned its original non-profit mission, prioritizing technology and profit over public good.
  2. Governance Structure: He questions OpenAI’s current governance framework, arguing that Altman and management have effectively taken control of an organization that nominally still operates under the banner of “ensuring AI benefits humanity.”
  3. Public Interest: Musk stressed that the case concerns “the basis of charitable giving,” warning that if non-profit organizations can freely convert into for-profit entities, it would undermine public trust in the entire charitable sector.

Industry Implications

The case is widely regarded as one of the most consequential legal battles in the AI industry. Analysts note that regardless of the outcome, the ruling will have far-reaching implications for the business models and regulatory frameworks of the global AI sector.

The AI industry is currently in a period of intense competition. Tech giants including Google, Microsoft, Amazon, and Meta are all accelerating their AI investments, and OpenAI’s business model and governance structure have become focal points of industry debate.

Altman’s Response

Altman has previously denied Musk’s allegations, arguing that OpenAI’s transition to a profit-cap structure was necessary to achieve greater impact rather than to pursue personal gain. In earlier court filings, Altman stated that the organizational change enabled OpenAI to attract top talent and large-scale investment, thereby accelerating the pace of AI development.

The legal battle between the two tech visionaries continues, and the final outcome is expected to shape the future trajectory of the global AI industry.

Source: Al Jazeera, BBC News