Elon Musk says OpenAI is 'looting a charity' in court testimony

Elon Musk testifies that OpenAI abandoned its nonprofit roots, alleging the company is 'looting a charity' in an escalating legal battle.

Elon Musk says OpenAI is 'looting a charity' in court testimony
Comment IconFacebook IconX IconReddit Icon
Tech and Science Editor
Published
2-minute read time
TL;DR: Elon Musk testified that OpenAI shifted from its original nonprofit mission to a profit-driven model, accusing it of exploiting its position and engaging in anti-competitive practices. His AI company xAI's lawsuits highlight concerns over OpenAI's market dominance and partnerships, intensifying the legal battle and regulatory implications.
0:00 / 0:00

Elon Musk has taken the stand in the escalating legal battle surrounding OpenAI, accusing the company of straying from its original mission and effectively "looting a charity."

Testifying in court, Musk kept to his long-standing argument that OpenAI was founded as a nonprofit focused on benefiting humanity, but, as it grew and he left as one of the founders, it has since shifted toward a profit-driven model that prioritizes commercial success. His comments come as part of a broader legal dispute tied to his AI company xAI, which has already filed lawsuits alleging anti-competitive behavior and misuse of trade secrets involving OpenAI and its partners.

The testimony adds fuel to an ongoing and heated conflict between Musk and OpenAI leadership, specifically CEO Sam Altman. Musk has repeatedly criticized the company's transformation into a capped-profit structure and its deep ties with major tech players like Microsoft, using both as examples of how OpenAI has strayed from its original mission statement.

Elon Musk says OpenAI is 'looting a charity' in court testimony 651165156

This aligns with previous legal filings by xAI, in which Musk's company claims OpenAI has leveraged its position to unfairly dominate the AI market, including through high-profile integrations and exclusive partnerships. With Musk now publicly testifying under oath, the stakes have shifted, and it's likely the outcome of this trial will mark an important milestone in the development of regulations for AI companies.

In other recent big news, Take-Two Interactive's CEO Strauss Zelnick has teased when the marketing for Grand Theft Auto 6 will begin ahead of its release scheduled for November this year. For more on that story, check out the link down below.

Photo of the PlayStation 5 console - 1TB
Best Deals: PlayStation 5 console - 1TB
Today7 days ago30 days ago
$649.99 USD$549 USD
$674.99 USD$549.99 USD
$819.96 CAD$649.96 CAD
$649.99 USD$549 USD
$649.99 USD$549 USD
Check PriceCheck Price
* Prices last scanned 4/30/2026 at 1:21 am CDT - prices may be inaccurate. As an Amazon Associate, we earn from qualifying purchases. We earn affiliate commission from any Newegg or PCCG sales.

Tech and Science Editor

Email IconX IconLinkedIn Icon

Jak joined TweakTown in 2017 and has since reviewed 100s of new tech products and kept us informed daily on the latest science, space, and artificial intelligence news. Jak's love for science, space, and technology, and, more specifically, PC gaming, began at 10 years old. It was the day his dad showed him how to play Age of Empires on an old Compaq PC. Ever since that day, Jak fell in love with games and the progression of the technology industry in all its forms.

Follow TweakTown on Google News
Newsletter Subscription