Inside the High-Stakes Testimony: Elon Musk vs Sam Altman at OpenAI
In a shocking turn of events, former co-founder Sam Altman took the stand to defend OpenAI against Musk’s allegations. Here's what you need to know.
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In an unprecedented high-stakes court battle, OpenAI CEO Sam Altman took center stage as he faced off against his former co-founder Elon Musk. The proceedings revealed a series of tense exchanges and insights into the founding days of one of Silicon Valley’s most influential AI companies.
The Testimony Begins
On the first day of testimony, Altman was immediately quizzed on Musk's allegations that OpenAI's other founders had 'stolen a charity.' Altman responded with a mix of bewilderment and resolve. 'It feels difficult to even wrap my head around that framing,' he admitted, pausing for several seconds before adding, 'We created one of the largest charities in the world. This foundation is doing incredible work and will do much more.'
OpenAI’s Financial Structure
Musk's legal team emphasized OpenAI’s recent restructuring, noting that the non-profit organization didn’t have full-time employees until earlier this year. Board chair Bret Taylor clarified that this was due to the challenge of converting OpenAI equity into cash, a process completed during their most recent restructure in 2025.
The Central Question
Musk's attorneys grilled Altman on whether OpenAI’s commitment to safety had been compromised as its commercial power grew. However, Altman painted a different picture. He recounted a “particularly hair-raising moment” in 2017 when Musk discussed the future of OpenAI and mused about passing it down to his children if he were to die.
‘That did huge damage for a long time to the culture of the organization,’ Altman stated, citing Musk’s management tactics as a key factor in the decline. 'I don’t think Mr. Musk understood how to run a good research lab,' he said. ‘He had demotivated some of our most key researchers and created an environment where they felt undervalued.'
The Clash of Cultures
Altman’s testimony highlighted the stark differences in leadership styles between him and Musk. He described a 'chainsaw through' exercise that Musk had Greg and Ilya, two key founders, undertake to rank researchers—a move Altman said significantly harmed OpenAI's culture.
The Future of AI
Despite the challenges, Altman maintains his faith in OpenAI’s mission. He emphasized the importance of keeping advanced AI out of the hands of a single person. 'Founders who had control usually did not give it up,' he warned, reflecting on his experience at Y Combinator.
The testimony also revealed that despite the falling out, Altman and Musk maintained a professional relationship. They exchanged updates and even discussed potential investments, such as the 2018 Microsoft investment into OpenAI, which Musk was kept informed about.
