Elon Musk Seeks Removal of Sam Altman and Greg Brockman in OpenAI Legal Battle
Elon Musk has escalated his legal dispute with OpenAI, filing an amendment to his lawsuit that seeks the removal of CEO Sam Altman from the nonprofit board and President Greg Brockman from his executive role in the company.
The move comes ahead of a trial expected to start later this month in Oakland, California, over claims that OpenAI abandoned its nonprofit mission.
Why Is Musk Demanding Leadership Changes
According to court documents, Musk is aiming to “unwind OpenAI’s for-profit conversion and restructuring,” which would include stripping Altman and Brockman of their leadership positions.
Musk’s filing emphasises that any damages awarded would go to OpenAI’s charitable arm, not to him personally.
His lawyer, Marc Toberoff, said,
“He is asking the court to return everything that was taken from a public charity—and to make sure the people responsible are never in a position to do this again.”
Musk’s legal team describes the removal of charity officers as a standard remedy when leaders fail to uphold a public mission.
The billionaire, who co-founded OpenAI with Altman and others in 2015, has argued that he was misled into contributing $38 million under promises the company would remain a nonprofit.
Allegations Against OpenAI and Microsoft
Musk is seeking more than $150 billion in damages from OpenAI and its partner Microsoft, claiming the companies “strayed from their nonprofit mission” and benefitted financially from decisions made at the expense of public interest.
OpenAI’s transformation included creating a for-profit subsidiary, later converted into a public-benefit corporation, giving the nonprofit parent a stake in the profitable arm.
The company, currently valued at $852 billion, plans a public listing later this year.
OpenAI Pushes Back Against Musk’s Claims
OpenAI has rejected Musk’s allegations, describing the lawsuit as “a harassment campaign that’s driven by ego, jealousy and a desire to slow down a competitor.”
The company has also called on authorities in California and Delaware to investigate Musk for “improper and anti-competitive behaviour,” citing coordinated efforts to block the firm’s restructuring.
Trial Looms Over Growing AI Rivalry
The legal dispute is entwined with a wider business rivalry.
Musk left OpenAI’s board in 2018 and later founded xAI in 2023, which has become a competitor, developing AI tools including the Grok chatbot.
Earlier this year, SpaceX acquired xAI, integrating X (formerly Twitter) in a deal valued at $1.25 trillion.
Jury selection for Musk’s case is scheduled for 27 April in federal court in Oakland, California.
The outcome could have significant implications for governance, public oversight, and funding structures of leading AI organisations.
Musk Clarifies Motives in Court Filing
In his filing, Musk stated that his lawsuit is “strictly tied to his purpose in bringing this lawsuit: to prevent the subordination of a public charity—one he co-founded and for which he was the primary supporter during its formative years—to private, for-profit interests.”
He also seeks to have OpenAI revert to a fully nonprofit operation while recovering any financial gains allegedly accrued by OpenAI and Microsoft from the for-profit restructuring.
Ongoing Tensions Between Founders
Musk and Altman, once co-chairs of OpenAI, have become increasingly bitter rivals.
Altman criticised Musk’s lawsuit as a tool to slow down a competitor, while Musk maintains his focus on defending the original charitable mission of OpenAI.
With the trial approaching, both camps continue a public back-and-forth, highlighting deep divisions over the company’s direction, governance, and commercial strategy.