Science & technology

OpenAI Countersues Musk Over Alleged Campaign to Harm Company

Published APR 11 2025

Story

Above: A photo illustration of the OpenAI logo with images of Elon Musk and Sam Altman in the background, Ankara, on March 14, 2024. Image credit: Muhammed Selim Korkutata/Anadolu via Getty Images

The Facts

OpenAI filed a countersuit on Wednesday against Elon Musk in a U.S. District Court in California, asking the judge to prevent Musk from “further unlawful and unfair action” and hold him “responsible for the damage he has already caused.”
PCMag UK
Court Listener
The legal battle between the company and the Tesla CEO centers on OpenAI’s transition from a non-profit to a for-profit structure, which must be completed by the end of the year for OpenAI to secure the full $40 billion funding round per SoftBank Group’s conditions.
FOX News
CNN
OpenAI announced the lawsuit on X, claiming that Musk’s actions were “bad-faith tactics to slow down OpenAI and seize control of the leading AI innovations for his personal benefit.”
X
OpenAI alleges that Musk “has tried every tool available to harm OpenAI,” including “press attacks, malicious campaigns ... a pretextual demand for corporate records, harassing legal claims, and a sham bid for OpenAI’s assets.” Musk offered to buy OpenAI for $97.4 billion in February.
Court Listener
City AM
Musk originally sued OpenAI for allegedly breaching the organization’s “Founding Agreement” in 2023 in transitioning to a for-profit structure. In a separate lawsuit, Musk also alleged that Sam Altman had “intentionally ... deceived Musk” to gain his financial backing.
Documentcloud
Documentcloud
Musk co-founded OpenAI with Altman in 2015, but left in 2018 after the board reportedly rejected his attempts to take ownership. Musk later launched his own AI company, xAI, in 2023. A jury trial between Musk and OpenAI is scheduled for Spring 2026.
Mashable
PCMag UK
Reuters

Sources Split

LEFT

CENTER

RIGHT

ESTAB
CRIT

CENTER

PRO
ESTAB

The Spin

Narrative A

Elon Musk has done everything in his power to undermine OpenAI at every turn. Having left the company in 2018, claiming it was bound for “certain failure,” Musk could not stand OpenAI’s success, so he set in motion a campaign of legal harassment, interference, and misinformation aimed at dismantling it. Faced with these sustained attacks, OpenAI had no choice but to countersue.

Court Listener

Narrative B

Elon Musk’s only offense is holding Sam Altman and OpenAI accountable for straying from the organization’s founding principles. Unsatisfied with violating the company’s Founding Agreement and defrauding Musk, OpenAI’s leadership now wants to sell the organization’s soul. By shifting to a for-profit model, Altman and his team would trade the goal of advancing AI for the benefit of humanity for the pursuit of profit. Having poured his resources into this project, Musk is right to intervene.

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