Sam Altman set testify in Elon Musk’s lawsuit against OpenAI

Sam Altman set testify in Elon Musk’s lawsuit against OpenAI


OpenAI CEO Sam Altman is scheduled to take the witness stand Tuesday and Wednesday in Elon Musk’s lawsuit against the company.

At the heart of the case is Musk’s claim that he was induced to give $38 million to OpenAI on the premise that it would serve a charitable mission, which he says the organization subsequently betrayed by restructuring itself as a for-profit company. OpenAI counters that Musk was aware of the for-profit plan but sought control of the organization himself.

Altman’s appearance follows testimony Monday from former OpenAI chief scientist Ilya Sutskever, who said he spent about a year gathering evidence for the OpenAI board that Altman had displayed a “consistent pattern of lying.”

The trial has drawn testimony from a number of current and former OpenAI executives, including OpenAI president Greg Brockman, former OpenAI technology chief Mira Murati, and Shivon Zilis, a former OpenAI board member. Microsoft CEO Satya Nadella testified earlier this week that Musk never contacted him to raise concerns that Microsoft’s investments in OpenAI violated any special terms or commitments.

From the witness stand, Musk described OpenAI as originally his concept, one that he said executives ultimately steered away from his vision. His donations, he testified, were intended purely for a charitable purpose. Although he acknowledged awareness of early internal conversations about a potential for-profit structure, he said Altman gave him assurances at the time that no such conversion would occur.

Among the remedies Musk is seeking are the removal of Altman and Brockman from their positions, the return of profits from the for-profit conversion to OpenAI’s charitable foundation, and a reversal of the structural shift that created the for-profit entity.

The case has been narrowed to four claims heading into trial: unjust enrichment, fraud, constructive fraud, and breach of charitable trust. Judge Yvonne Gonzalez Rogers of the U.S. District Court for the Northern District of California is presiding. Because the jury’s role is advisory, ultimate authority over any liability determination rests with Judge Gonzalez Rogers. A finding of liability would trigger a separate remedies phase in which she — without the jury — would determine appropriate damages and corrective measures.

Backed by large technology companies and investors to the tune of hundreds of billions of dollars, OpenAI is weighing a future public offering. The company puts its current worth at about $852 billion.


finance.yahoo.com
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