Musk testifies he didn’t read ‘fine print’ about OpenAI
As Elon Musk argued with Sam Altman’s lawyer about the timing of his decision to sue OpenAI and whether he was aware of talks to turn it into a for-profit company, he was cross-examined at a hearing on a case that could determine the ChatGPT maker’s future.
The world’s richest person claims that OpenAI co-founder and CEO Sam Altman and chairman Greg Brockman secured US$38 million ($53 million) in donations and personal donations by pledging to establish a nonprofit that would prioritize the safe development of artificial intelligence before turning to creating a for-profit organization to enrich themselves.
William Savitt, an attorney for OpenAI, Altman and Brockman, pressed Musk on whether he had read Altman’s term sheet, submitted on August 31, 2017, regarding OpenAI’s transition from a nonprofit to a for-profit organization controlled by a nonprofit.
Wearing a dark suit, a dark plain tie and a white shirt, Musk said, “My statement is that I didn’t read the fine print, I just read the headline.”
OpenAI said Musk, the CEO of Tesla and SpaceX, was driven by an obligation to control OpenAI and became uncomfortable with the company’s success after leaving the board in 2018. They also said he failed to prioritize security issues while at the company and tried to prop up his own artificial intelligence company, SpaceX unit xAI, which has lagged behind OpenAI in user adoption.
OpenAI pioneered the widespread use of artificial intelligence with its ChatGPT chatbot and has raised billions of dollars from investors to develop its computing power ahead of a potential trillion-dollar IPO. Musk wants $150 billion in compensation as well as radical changes in the company’s management.
Musk occasionally expressed frustration with Savitt’s cross-examination.
“Very few answers will be complete, especially when you keep interrupting me,” Musk said.
U.S. District Judge Yvonne Gonzalez Rogers later warned Savitt not to allow Musk to answer a question but rejected Musk’s complaints that the lawyer directed the questioning.
Musk was asked why he didn’t sue OpenAI before and how and why he didn’t realize it would become a for-profit organization. Savitt repeatedly pointed to emails from other OpenAI founders to Musk that showed they at one point discussed making OpenAI technology closed source or monetizing it.
“I have been assured by Sam Altman and others that OpenAI will continue as a nonprofit organization,” Musk said.
During questioning, Musk said his company xAI uses OpenAI to train its own models, adding: “It’s standard practice to use other AIs to validate your AI.”
Altman and Brockman were in the courtroom for much of Musk’s testimony, watching intently. Musk was dismissed after more than two hours of questioning, followed by his top aide, Jared Birchall, taking the stand.
Founded in 2015, OpenAI has grown from a nonprofit research lab in Brockman’s apartment to a company valued at more than $850 billion with plans to potentially go public.
Musk is seeking $150 billion in damages from OpenAI and Microsoft, one of its largest investors, with the proceeds to go to OpenAI’s charities. Musk also wants OpenAI to revert to a nonprofit, for Altman and Brockman to be removed as officers, and for Altman to be removed from the board. Musk’s claims include breach of trust of charities and unjust enrichment.
The trial began Monday and is expected to last several weeks.
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