Musk seeks up to $134 billion from OpenAI, Microsoft in ‘wrongful gains’
By Bipasha Dey
Jan 17 (Reuters) – Elon Musk seeks funding of up to $134 billion OpenAI And Microsoftargues that he deserves the “ill-gotten gains” they got from his initial support artificial intelligence startup, according to a court filing Friday.
In his statement in federal court before his hearing against the two companies, Musk said that OpenAI earned between $65.5 billion and $109.4 billion from the billionaire entrepreneur’s contributions when he was co-founder of OpenAI in 2015, while Microsoft earned between $13.3 billion and $25.1 billion.
Lawyers for OpenAI, Microsoft and Musk did not immediately respond to requests for comment outside business hours. OpenAI called the lawsuit “baseless” and part of Musk’s “harassment” campaign. A Microsoft lawyer said there was no evidence the company “aided and abetted” OpenAI.
Musk, who left OpenAI in 2018 and now runs xAI along with rival chatbot Grok, claims ChatGPT operator OpenAI violated its founding mission during a high-profile restructuring for a nonprofit.
A judge in Oakland, California, ruled this month that a jury will hear from the trial, which is expected to begin in April.
Musk’s filing states that he contributed approximately $38 million, 60% of OpenAI’s early startup funding, helped recruit staff, connected the founders with key people, and added credibility to the project once it was created.
“Just as the initial investor in a start-up company can generate returns greater than the investor’s initial investment, the ill-gotten gains that OpenAI and Microsoft have earned, which Mr. Musk now has the right to give up, are far greater than Mr. Musk’s initial contributions,” Musk argues.
The file states that Musk’s contributions to OpenAI and Microsoft were calculated by his expert witness, financial economist C. Paul Wazzan.
The filing does not specify how any injunctive relief might be sought, but if a jury finds either company liable, Musk could seek punitive damages and other penalties, including possible injunctive relief.
(Reporting by Bipasha Dey in Bengaluru; Additional reporting by Mike Scarcella in Washington; Editing by William Mallard)
