The Elon Musk OpenAI trial reached a dramatic new chapter this week as OpenAI CEO Sam Altman took the witness stand and accused Musk of inflicting lasting harm on the company during his time on its board. Now in its third week, the closely followed case has become one of the most consequential legal battles in the tech world.

“A Chainsaw Through” the Research Team

Altman told jurors that Musk wanted to “take a chainsaw through” OpenAI’s research staff. According to his testimony, Musk pushed co-founders Greg Brockman and Ilya Sutskever to rank researchers by their accomplishments — the goal being to identify and cut the lowest performers.

That exercise, Altman said, did “huge damage for a long time to the culture of the organization.” It’s a striking claim, suggesting the effects lingered well beyond Musk’s actual involvement.

Relief When Musk Departed

According to Altman, Musk’s exit from the OpenAI board in 2018 actually lifted spirits inside the company. He described it as “a morale boost in some ways,” with researchers feeling that they would no longer have to operate under that kind of pressure.

Altman also recounted what he called a “particularly hair-raising moment.” When co-founders asked Musk what would happen to the company if he died while holding control, Musk allegedly responded that he hadn’t given it much thought, but that control might pass to his children.

He further testified that during early discussions about turning OpenAI into a for-profit entity, Musk wanted 90% of the company’s equity — reasoning that he was the most recognizable of the founders. Musk also reportedly told the group that a single tweet from him would instantly make the venture worth a great deal.

What Musk Is Trying to Win

Musk’s financial history with OpenAI is part of the backdrop here. Between 2015 and 2020, he donated $38 million to the organization, accounting for roughly 28% of all donations during that stretch.

Now, he’s asking for far more in return. Musk is seeking up to $180 billion in damages and wants Altman removed as CEO.

Prediction markets, however, aren’t especially optimistic about his odds:

• Polymarket traders give Musk about a 31% chance of winning the case.
• The odds of Altman being out as OpenAI CEO by the end of 2026 sit at around 20%.

Questions Over Altman’s Personal Investments

Musk’s legal team didn’t limit its focus to past grievances. His attorney pressed Altman on personal investments worth more than $2 billion in companies that do business with OpenAI.

Those holdings reportedly include stakes in:

• Helion — a nuclear energy startup
• Cerebras — an AI chipmaker
• Reddit Inc. — the social platform

The Cerebras connection is especially timely. The chipmaker is scheduled to go public, and OpenAI is set to receive warrants worth up to 10% of the company as part of a compute agreement.

Scrutiny From Washington

The conflict-of-interest concerns aren’t confined to the courtroom. On May 8, the House Oversight Committee sent Altman a letter requesting documents on how OpenAI manages conflicts of interest.

Lawmakers cited worries that charitable funds could be used in ways that boost the value of Altman’s personal investments — a serious allegation given OpenAI’s origins as a nonprofit.

Why the Outcome Matters Beyond Musk and Altman

This case carries weight far beyond the two men at its center.

Microsoft, an early investor in OpenAI and a co-defendant in the suit, is entitled to a share of the company’s profits. A ruling that goes against OpenAI could ripple outward in significant ways — most notably, it could derail the company’s planned initial public offering.

In other words, the stakes extend to one of the most anticipated tech IPOs on the horizon, the broader AI industry, and the question of how a company born as a nonprofit should handle the enormous commercial pressures it now faces.

The Bottom Line

The Elon Musk OpenAI trial has evolved into something much larger than a dispute between former collaborators. With Altman’s testimony painting Musk as a disruptive force who damaged the company’s culture, and Musk’s team raising pointed questions about Altman’s own financial entanglements, both men’s reputations are on the line.

As the trial continues, its outcome could reshape OpenAI’s leadership, its path to going public, and the way the industry thinks about the line between mission and money.