In the second week of the landmark trial between Elon Musk and OpenAI - a courtroom drama that’s part legal thriller, part tech soap opera, and part family reunion - Musk’s motivations for suing his own creation came under the microscope. Last week, Musk took the stand claiming OpenAI CEO Sam Altman and president Greg Brockman duped him into donating $38 million under the pretense of keeping the company a nonprofit dedicated to safe AI, only to later take billions from Microsoft and spin up a for-profit subsidiary. This week, Brockman fired back with receipts, arguing that Musk actually pushed for a for-profit arm and demanded “absolute control” over it, and is now suing because he didn’t get his way and wants to undermine competitor xAI.
Shivon Zilis, a former OpenAI board member and mother of four of Musk’s children, also testified, revealing that Musk tried to recruit Altman to lead a new AI lab at Tesla. Because nothing says “I’m committed to your nonprofit mission” like poaching your CEO for your electric car company. Musk cofounded OpenAI in 2015 but left in 2018; now he’s asking the court to remove Altman and Brockman, unwind OpenAI’s restructuring into a public benefit corporation, and seek up to $134 billion in damages from OpenAI and Microsoft. The trial’s outcome could derail OpenAI’s IPO at a valuation approaching $1 trillion, while xAI - now a division of SpaceX - eyes its own IPO as early as June at a target valuation of $1.75 trillion.
Brockman walked into court Monday in a blue suit and tie, holding hands with his wife Anna, and was initially chipper recalling OpenAI’s early days. But he grew agitated under questioning from Musk’s lawyer Steven Molo. Outside, protesters sang hymns over press conferences. Two days before trial, Musk messaged Brockman asking about settling; when Brockman suggested both sides drop claims, Musk replied: “By the end of this week, you and Sam will be the most hated men in America. If you insist, so it will be.” Brockman testified that in summer 2017, after OpenAI’s AI beat Dota 2 pros, Musk hosted a party at his “Haunted Mansion” where Amber Heard served whiskey, and Musk declared it was “time to create a for-profit.” Over six weeks, Musk demanded majority equity, control of the board, and the CEO role. When Brockman and chief scientist Ilya Sutskever proposed equal shares, Musk “stormed around the table” and Brockman thought he might be hit. Musk grabbed a painting of a Tesla that Sutskever had brought as a goodwill token and walked out.
Molo argued that Brockman was motivated by greed, noting his stake is now worth nearly $30 billion despite never investing cash. He pulled up Brockman’s 2017 journal entry asking “Financially what will take me to $1B?” and another calling converting OpenAI to a for-profit without Musk “morally bankrupt.” Brockman said greed wasn’t his motive - “Solving for the mission has always been my primary motivation.” Molo also revealed Brockman’s stakes in companies with OpenAI ties (Cerebras, CoreWeave, Helion Energy), raising conflict-of-interest questions. Former CTO Mira Murati and former board member Helen Toner appeared via video, discussing Altman’s brief 2023 firing and his alleged lying. Zilis testified that in 2017, Musk emailed her about pivoting to a Tesla AI lab, and tried to recruit Altman to lead it. She said she had “allegiance to the best outcome for AI for humanity.” Next week: Sutskever and Microsoft CEO Satya Nadella testify, followed by closing arguments and jury deliberation.