Elon Musk testified in court this week that he considers himself a "fool" for investing $38 million in OpenAI, which has since grown into an $800 billion company. During the first week of his trial against OpenAI CEO Sam Altman, Musk made dramatic statements warning of a "Terminator" future and disclosed that his own company, xAI, uses OpenAI's models to train its artificial intelligence systems.
The lawsuit centers on disputes over OpenAI's direction and structure. Musk co-founded OpenAI in 2015 as a nonprofit focused on beneficial AI development, but the company later created a for-profit subsidiary. Musk claims the organization abandoned its original mission.
The trial has already generated substantial drama in its opening phase, with legal observers suggesting more contentious testimony lies ahead. The proceedings bring into focus fundamental questions about AI development, corporate governance, and the relationship between two of the tech industry's most prominent figures. Musk's admission that xAI relies on OpenAI technology adds complexity to his claims about the company's trajectory and his own AI ambitions.