Elon Musk vs Sam Altman Day 2: Tesla boss testifies he founded OpenAI as nonprofit to counter Google

Elon Musk testified in a federal courtroom in Oakland, California, on Tuesday, telling a jury that he designed, named and financed OpenAI with the clear understanding that it would never be operated for private gain. The high-stakes legal battle between the world’s richest man and OpenAI CEO Sam Altman has entered the second day of their hearing before Judge Yvonne Gonzalez Rogers. Altman and OpenAI president Greg Brockman were present in the courtroom.

Elon Musk said he founded OpenAI not to make profits, but to counter Google

Arriving at court in a black Cadillac, Tesla chief Musk told the court his main motivation for helping found OpenAI was to create a non-profit, open-source counterbalance to Google, whose approach to artificial intelligence he was deeply uncomfortable with.

Musk said the idea took shape after a heated discussion with Google co-founder Larry Page.

“I could have started this for profit, but I chose not to,” Musk said at the podium. “I chose to do this for the benefit of all humanity.”

Elon Musk Says Larry Page Called Him a “Species Expert Because He’s Pro-Human”

Explaining that his breakup with Page clarified his concerns about artificial intelligence development, Musk stated that the Google co-founder ignored his concerns about security by describing him as “a speciesist because he is pro-human”.

Musk told the court that he believed Page did not take the risks of advanced AI seriously, which convinced him that a separate, security-focused nonprofit was necessary.

Elon Musk Claims He Came Up with the Idea and Name and Hired Key People

Under questioning from lead trial attorney Steven Molo, Musk provided a comprehensive explanation of his role in founding OpenAI, portraying himself as the driving force behind the founding of the organization.

“I came up with the idea and the name, hired the key people, taught them everything I knew, secured all the initial financing,” Musk said.

Elon Musk on OpenAI’s Articles of Association: ‘No One Will Benefit from This Charity’

Musk’s legal team introduced OpenAI’s 2015 charter into evidence and displayed it on a monitor in the courtroom for the jury. The document stated that OpenAI would seek to create “open source technology for the public good” and that it was “not organized for the private gain of any individual.”

founder of xAI, Musk said the language was not accidental.

“This was specifically done for a charity that did not benefit any individual,” he said.

Musk Warns: ‘If It’s OK to Loot a Charity, Philanthropy in America Will Disappear’

In remarks that sparked an immediate objection from OpenAI’s legal team, Musk expanded his argument beyond the details of his own case, telling the court that the case had implications for philanthropy across the country.

“If the decision is made that it is okay to loot a charity, philanthropy in America will be destroyed,” he said.

Elon Musk on a For-Profit Subsidiary: ‘As Long as the Tail Doesn’t Wag the Dog’

Musk acknowledged that the possibility of creating a for-profit component came up in early discussions about how to sustain the organization financially. He said he was not categorically against such a structure, but added a clear condition to his support.

“We discussed and brainstormed different ways to fund charity. We talked about starting a for-profit organization or having Tesla provide the funding,” Musk said. “As long as the tail doesn’t actually wag the dog.”

Musk on Artificial Intelligence and the Future of Humanity: ‘It Could Make Us More Prosperous But It Could Also Kill Us All’

In perhaps the most striking passage of his testimony, Musk laid out his view on the risks involved in developing artificial intelligence, offering the jury a bleak but vivid assessment of the technology’s potential course.

“This might make us more prosperous, but it could also kill us all,” he said. “We want to be in a Gene Roddenberry movie, like Star Treknot quite a James Cameron movie terminator“

Elon Musk Compared Artificial Intelligence Education to Raising a Child in Court

Trying to explain the philosophical basis for his concern about AI security, Musk used an analogy that he said reflects both the importance and limits of human oversight over systems under development.

“It’s like you have a very smart child. At the end of the day, when the child grows up, you can’t really control him, but you can try to instill the right values. Honesty, honesty, valuing humanity, being good, basically,” he said.

Musk Predicts Artificial Intelligence Will Match Human Intelligence ‘As Soon As Next Year’

Providing a timeline that underscores the urgency he attaches to questions about AI governance and security, Musk told the court he expects artificial general intelligence to arrive sooner than most observers expect.

“My guess is that AI will probably be as smart as any human within the next year,” he said.

Elon Musk on Neuralink and AI Security: ‘Better Human-AI Symbiosis’

Describing his work at brain-computer interface company Neuralink, Musk told the court that the long-term goal of the startup was linked to the same security concerns that led him to found OpenAI.

“Neuralink’s long-term goal was actually AI safety, so if we can closely connect the human world to AI, basically getting better human-AI symbiosis, then we’re more likely to have a good future for humanity with AI,” he said.

What OpenAI Said in Court: ‘Musk Never Cares About AI Security’

OpenAI’s attorney, William Savitt, used his opening statement to directly challenge Musk’s explanation of his motivations. Savitt argued that Musk’s real complaint was not about nonprofit principles but about personal greed and control.

“Musk never cared whether OpenAI was a nonprofit or not. He never cared about AI security,” Savitt said. “What he cared about was Elon Musk being at the top.”

Savitt told the jury that Musk used his $1 billion financial commitment to “bully” other members of the founding team and “we’re here because Musk couldn’t get his way at OpenAI.”

OpenAI called the lawsuit a baseless “harassment campaign” and publicly stated that it “looks forward to making our case in court, where both the truth and the law are on our side.”

What Elon Musk Is Looking For At The Hearing

Musk had initially sought up to $134 billion in damages from OpenAI and Microsoft, one of the company’s biggest backers and a co-defendant in the case. He has since revised this position and now wants all “ill-gotten gains” to be directed to the OpenAI charity rather than being paid to him personally.

OpenAI completed a major restructuring in October, removing the profit cap under its redesigned nonprofit, which remains overseen by a nonprofit foundation. The company later raised $122 billion in its latest funding round.

What’s Next in the Elon Musk-Sam Altman Case?

Musk’s testimony was expected to continue Wednesday, after which his legal team indicated it would call Jared Birchall to the stand. Birchall manages Musk’s finances through his family office, Excession LLC, and holds executive roles at xAI and Neuralink.

The hearing, scheduled to last four weeks, is expected to hear from a number of high-profile witnesses, including Microsoft CEO Satya Nadella, leading artificial intelligence researchers and current and former members of OpenAI’s board of directors.