FOLLOW US

America May 18, 2026 5 mins read

Musk Loses Case Against OpenAI as Jury Delivers Unanimous Verdict in Less Than Two Hours

America ı By Rihem Akkouche

0 Comments

Musk loses case against OpenAI

It took the jury less time to reach a verdict than it takes to watch a feature film. After 11 days of testimony that raked two of the most powerful figures in artificial intelligence across the coals of credibility, honesty, and billion-dollar betrayal, a unanimous federal jury in Oakland on Monday ruled against Elon Musk in his lawsuit against OpenAI — finding not that OpenAI was innocent of wrongdoing, but that Musk had simply waited too long to make his case.

The verdict, delivered in under two hours of deliberation, lands as a significant legal defeat for the world's richest person and closes — at least for now — one of the most closely watched courtroom confrontations in the history of the technology industry. Lawyers for OpenAI embraced each other the moment the decision was announced.

The Case That Put AI's Soul on Trial

Musk filed his lawsuit in 2024, leveling accusations that cut to the existential heart of what OpenAI was supposed to be. He alleged that OpenAI co-founders Sam Altman and Greg Brockman had manipulated him into contributing $38 million to the organization's founding mission — building safe artificial intelligence for the benefit of all humanity — and then systematically dismantled that mission by quietly attaching a for-profit business to the original nonprofit structure and accepting tens of billions of dollars from Microsoft and other investors.

Musk called it, with characteristic bluntness, "stealing a charity."

OpenAI was co-founded by Altman, Musk, and several others in 2015. Musk departed the board in 2018. The for-profit arm was established the following year. From that sequence of events, Musk constructed a legal argument that the organization he helped create had been hijacked by the very people he trusted to steward it.

OpenAI's counter-narrative was equally pointed: it was Musk, the company's lawyers argued, who had seen dollar signs from the beginning — and who had then waited far too long, under applicable statutes of limitations, to claim the founding agreement had been breached.

"Mr. Musk may have the Midas touch in some areas," OpenAI attorney William Savitt told jurors in his closing argument, "but not in AI."

The Verdict and the Judge's Warning

The jury found in OpenAI's favor on the threshold question of timing — determining that Musk had brought his case too late under the applicable statute of limitations. The deliberation lasted less than two hours, a timeline that suggested jurors found the factual record on the timeliness question relatively clear-cut.

US District Judge Yvonne Gonzalez Rogers was candid about the evidentiary landscape following the verdict. When Musk's attorney announced he reserved the right to appeal, the judge offered a sobering assessment of those prospects.

"There's a substantial amount of evidence to support the jury's finding, which is why I was prepared to dismiss on the spot," Gonzalez Rogers said — language that served as a judicial warning that an appellate path would be steep and difficult to navigate.

Credibility on the Witness Stand

The 11 days of trial were as much a referendum on the credibility of the individuals involved as they were a legal proceeding. Both Musk's and Altman's honesty came under sustained attack from opposing counsel, and the courtroom became a theater of competing narratives about who wanted what, who said what to whom, and who ultimately cared more about money than mission.

Musk's attorney Steven Molo pressed hard on Altman's trustworthiness in closing arguments, reminding jurors that multiple witnesses had questioned Altman's candor during testimony — and that Altman himself had declined to give an unqualified affirmation of his own honesty when directly asked.

"Sam Altman's credibility is directly at issue," Molo argued. "If you don't believe him, they cannot win."

The jury, deliberating for less than two hours, effectively rendered that argument moot — finding that the timing of the lawsuit, not the underlying allegations about Altman's conduct, was the dispositive issue.

Microsoft's Role — and Its Statement

Microsoft, which has committed more than $100 billion to its partnership with OpenAI according to executive testimony at trial, faced an aiding and abetting claim as part of the litigation. The jury's verdict swept that claim away alongside Musk's primary allegations.

In a statement following the verdict, a Microsoft spokesperson embraced the outcome without ambiguity. "The facts and the timeline in this case have long been clear and we welcome the jury's decision to dismiss these claims as untimely."

The Stakes Beyond the Courtroom

The trial had been framed by observers as something larger than a dispute between wealthy founders — a proxy battle over the future of artificial intelligence itself, over who controls it, who profits from it, and whether its development can be meaningfully governed by anything other than market forces.

OpenAI is now preparing for a potential initial public offering that analysts believe could value the company at $1 trillion. Musk's own AI venture, xAI, has been folded into SpaceX, which is simultaneously preparing an IPO that some projections suggest could exceed even OpenAI's in size.

The irony of two adversaries — each claiming the moral high ground on AI safety and public benefit — both racing toward trillion-dollar market valuations is not lost on the industry watching from the sidelines.

Monday's verdict does not resolve the deeper questions about AI's trajectory that animated the lawsuit. It resolves only the question of whether Musk's legal vehicle was roadworthy enough to carry those questions to judgment. The jury decided it was not — and it decided so in less time than it takes to charge a Tesla.

Previous Article

Devil Wears Prada 2 Is An Instant Box Office Powerhouse as Cast Salaries Spark Buzz

Read More
4594 Posts

Rihem Akkouche

Rihem Akkouche is a passionate journalist dedicated to shedding light on compelling stories, sparking conversations, and fostering a more informed world.

Discussion

No comments yet. Be the first to join the discussion!

Don’t Miss It
America September 20, 2026
Saquon Barkley Injury Sidelines Eagles Star After Brutal First Carry
By – Tyler Brooks
Opinion September 19, 2026
Trump’s Press Ban Puts His Ego Above Your Rights
By – Michallie Harrison
America September 19, 2026
Charged with Murder: Ohio Father Indicted…

An Ohio father has been charged with murder in connection…

By – Jackie Allen
America September 19, 2026
Iranian Government Holds Rally as War…

The Iranian Government organized its allegedly largest rally since the…

By – Jackie Allen
America September 19, 2026
Texas Shuts Down Houston-Area ‘Birth Tourism’…

Key Takeaways Texas Attorney General Ken Paxton announced that De’Ai…

By – Samuel Lopez
America September 19, 2026
Acquitted Michigan Brothers Sue FBI Agents…

Factual Background Michael and William Null, acquitted in 2023 of…

By – Samuel Lopez
America September 19, 2026
Businesses Face Rising ADA Lawsuits Over…

Key Takeaways Website-accessibility litigation is surging, with 432 new digital…

By – Samuel Lopez
America September 19, 2026
Maurene Comey Wants Her Job Back…

Key Takeaways Maurene Comey is challenging DOJ’s argument that Assistant…

By – Samuel Lopez
America September 19, 2026
Maurene Comey Wants Her Job Back…

Key Takeaways Maurene Comey is challenging DOJ’s argument that Assistant…

By – Samuel Lopez
America September 19, 2026
Agreement Entered Into With Denmark And…

Key Takeaways The Trump administration announced a new Greenland agreement…

By – Samuel Lopez
America September 18, 2026
DC Productions Narrow as HBO Chief…

DC Productions are entering a more selective phase, according to…

By – Jackie Allen
America September 18, 2026
Princess Diana Wanted to End Engagement…

Princess Diana wanted to call off her engagement to then-Prince…

By – Jackie Allen
America September 18, 2026
Pentagon Drops 6th Tranche of UAP…

Key Takeaways Among the most extraordinary documents in the Pentagon’s…

By – Samuel Lopez
America September 18, 2026
Pentagon Recognized Religions List Sparks Debate…

A revised Pentagon list of recognized religions in the U.S.…

By – Jackie Allen
America September 18, 2026
Pentagon Recognized Religions List Sparks Debate…

A revised Pentagon list of recognized religions in the U.S.…

By – Jackie Allen
America September 18, 2026
Uber Ordered to Pay $40 Million…

Uber has been ordered to pay $40 million to the…

By – Jackie Allen
America September 17, 2026
DEA Investigation Into Hayden Panettiere Death…

A DEA Investigation into the death of actress Hayden Panettiere…

By – Jackie Allen
America September 17, 2026
Tyler Perry Plans Puerto Rico Move…

Key Takeaways Tyler Perry says he plans to move to…

By – Samuel Lopez
America September 17, 2026
Blueface Livestream Drama Raises Family Court…

Key Takeaways Repeated livestreams involving Blueface and Nevaeh Akira have…

By – Samuel Lopez
America September 16, 2026
Pentagon Admits Space Weapons Are Already…

Key Takeaways The U.S. has confirmed for the first time…

By – Samuel Lopez
America September 17, 2026
Starbucks Settles Florida DEI Lawsuit For…

Key Takeaways Starbucks has settled Florida’s lawsuit challenging the company’s…

By – Samuel Lopez
America September 17, 2026
New Balance Sues Decathlon Over Kiprun…

Key Takeaways New Balance claims Decathlon’s mirrored Kiprun “K” logo…

By – Samuel Lopez
America September 17, 2026
OpenAI $1.2T Valuation Talk Headlines Week…

Numbers this large tend to blur into abstraction — until…

By – Tyler Brooks
Breaking News September 17, 2026
Fed Rate Hike Adds to Americans’…

WASHINGTON — A Fed rate hike is adding to Americans’…

By – Michallie Harrison
America September 17, 2026
AI Safety Debate Turns to Synthetic…

Key Takeaways OpenAI’s Hugging Face breach has intensified questions over…

By – Samuel Lopez
America September 17, 2026
America’s Golden Dome Pushes U.S. Missile…

Key Facts The Space Force is developing low-Earth-orbit interceptors intended…

By – Samuel Lopez
America September 15, 2026
Massachusetts AG Joins 21-State Coalition Suing…

Key Takeaways Massachusetts Attorney General Andrea Campbell has joined attorneys…

By – Samuel Lopez
America September 14, 2026
TMZ Ties Itself to the Hayden…

Key Takeaways TMZ is reporting that law enforcement sources believe…

By – Samuel Lopez
America September 13, 2026
Bayer’s $7.25 Billion Roundup Settlement Faces…

Key Takeaways Bayer’s Monsanto unit will ask a Missouri judge…

By – Samuel Lopez
America September 13, 2026
Tylenol Maker and Pharmacy Chains Ask…

By Samuel López | USA Herald Tylenol maker Kenvue and…

By – Samuel Lopez
America September 13, 2026
Lawyers Are Getting Burned by AI…

Key Takeaways Courts across the country have been sanctioning lawyers…

By – Samuel Lopez
America September 10, 2026
41% of Lawyers Say Legal Careers…

Key Takeaways More than 41% of surveyed lawyers say the…

By – Samuel Lopez
And More September 14, 2026
Sydney Sweeney and Scooter Braun Celebrate…

Sydney Sweeney celebrated her 29th birthday with a public declaration…

By – Jackie Allen
America September 13, 2026
Serena Williams’ Daughters Make History as…

Serena Williams has built one of the most decorated careers…

By – Jackie Allen
America September 13, 2026
KJ Biermann Faces Seven Felony Charges…

KJ Biermann, the 15-year-old son of “Real Housewives of Atlanta”…

By – Jackie Allen
America September 13, 2026
Team USA Reaches Women’s Basketball World…

BERLIN — Team USA advanced to the FIBA Women’s Basketball…

By – Jackie Allen
America September 11, 2026
Bears and RB Swift $33.75M Extension…

Sometimes the best deals get done before the clock even…

By – Tyler Brooks
America September 11, 2026
Skywatchers: Moonshadow Creates Dramatic Blood Moon…

A Moonshadow transformed the night sky Aug. 27 as the…

By – Jackie Allen

No posts found.

No posts found.

Signup for the USA Herald
exclusive Newsletter