Musk Considered Passing OpenAI Leadership to His Children, Testifies Altman
OpenAI CEO Sam Altman testified in court today regarding the lawsuit filed by his former co-founder Elon Musk, which challenges OpenAI’s corporate structure. Musk claims that Altman and the other founders have misappropriated a charity by creating a for-profit subsidiary to commercialize their AI products.
In response to a question about Musk’s accusation, Altman expressed disbelief, stating, "We created one of the largest charities in the world. This foundation is doing incredible work and will do much more." Musk’s legal team pointed out that while the OpenAI foundation now boasts around $200 billion in assets, it only employed full-time staff as of this year, a situation Altman attributed to the challenges of converting equity into cash, which was resolved in a 2025 restructuring.
Musk’s attorneys are focusing on whether OpenAI’s safety commitments have been compromised as it expanded commercially. Altman recalled a critical moment in 2017 when Musk discussed his desire to retain control over OpenAI. Musk’s statement that the organization should "pass to my children" if he were to die raised concerns for Altman, who argued that OpenAI was designed to prevent advanced AI from being monopolized by any single individual.
Altman further criticized Musk’s management approach, stating that his tactics, although effective in sectors like engineering and manufacturing, were harmful to the research environment at OpenAI. Altman explained that Musk’s insistence on ranking researchers and evaluating their accomplishments led to a demotivating atmosphere.
Despite their disagreements, communication continued between Altman and Musk, with Altman keeping Musk informed about OpenAI’s progress and seeking his advice and support. Notably, during a 2018 meeting about a Microsoft investment, Altman described the interactions with Musk as "good vibes," highlighting a positive moment amid the ongoing tensions.
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