OpenAI CEO Sam Altman set to testify in Musk legal battle over $38m donation

OpenAI chief executive Sam Altman is scheduled to take the witness stand on Tuesday and Wednesday in the ongoing federal trial brought by Elon Musk against the artificial intelligence firm. The California federal court has confirmed the dates for the testimony, which marks a pivotal moment in the legal proceedings that have drawn significant attention within the technology sector.

At the heart of the dispute is Musk's assertion that he contributed $38 million to OpenAI based on the understanding that the organisation would operate as a charitable mission. He alleges that this premise was betrayed when the entity restructured itself as a for-profit company. In response, OpenAI maintains that Musk was aware of the potential for a for-profit structure but actively sought control of the organisation himself rather than opposing it.

Altman's upcoming testimony follows Monday's evidence from former OpenAI chief scientist Ilya Sutskever, who testified that he spent roughly a year gathering information for the board. Sutskever claimed to have found a consistent pattern of lying by Altman, a contention that now forms a backdrop to the CEO's scheduled appearance. The trial has already heard from several current and former executives, including president Greg Brockman, technology chief Mira Murati, and board member Shivon Zilis.

Earlier this week, Microsoft CEO Satya Nadella provided testimony stating that Musk never contacted him regarding concerns that his investments in OpenAI violated special terms or commitments. Musk, speaking from the witness stand, described OpenAI as originally his concept, arguing that executives steered the project away from his vision. While he acknowledged early conversations about a for-profit structure, he testified that Altman provided assurances that no such conversion would occur.

The legal case has been narrowed to four specific claims: unjust enrichment, fraud, constructive fraud, and breach of charitable trust. Among the remedies Musk is seeking are the removal of Altman and Brockman from their positions, the return of profits generated by the for-profit conversion to the charitable foundation, and a reversal of the structural shift.

Judge Yvonne Gonzalez Rogers of the U.S. District Court for the Northern District of California presides over the matter. Because the jury's role in this trial is strictly advisory, ultimate authority regarding any liability determination rests solely with Judge Gonzalez Rogers. Should a finding of liability be made, she would proceed to a separate remedies phase to determine appropriate damages and corrective measures without the jury's involvement.

OpenAI, backed by major technology companies and investors worth hundreds of billions of dollars, is currently weighing a future public offering. The company values itself at approximately $852 billion as the legal proceedings continue to unfold.