Musk v. Altman trial closes with jury deliberations underway
Tags AI · Enterprise

Closing arguments concluded on May 14 in Elon Musk's lawsuit against OpenAI and Sam Altman, with a federal jury now deciding the outcome of what has been called the biggest tech court case of the year. Musk alleges that OpenAI abandoned its nonprofit mission in favor of a for-profit structure. The trial revealed that xAI's Grok model was developed using distillation from OpenAI's models, that Musk attempted to recruit OpenAI employees for a competing lab, and included numerous personal grievances between the two tech leaders. Legal experts say Musk faces an uphill battle proving his claims.
Technical significance
The trial's outcome could set precedent for how AI companies structure their governance and transition from nonprofit to for-profit models. Regardless of the verdict, the proceedings have exposed internal dynamics at OpenAI and raised questions about the concentration of AI development among a small number of well-funded entities. The revelation that xAI used model distillation from OpenAI also touches on unresolved IP questions in AI training.