Elon Musk Seeks Up to $134 Billion from OpenAI and Microsoft in Damages
This article first appeared on GuruFocus. Elon Musk is seeking as much as $134 billion in damages from OpenAI and Microsoft (MSFT, Financials), claiming they reaped wrongful gains from his early financial and strategic support, according to a federal court filing on Friday. Musk, who helped co-found OpenAI in 2015 and left the company in 2018, alleges that the organization violated its original nonprofit mission when it restructured into a for-profit entity. His filing says he provided about $38 million roughly 60% of OpenAI's early seed funding while also lending credibility, recruiting staff, and connecting the founders with key contacts. The lawsuit argues Musk is entitled to profits that OpenAI and Microsoft generated through what he calls misuse of his early contributions. His legal team compared the claim to an early investor realizing exponential gains from a startup's success. OpenAI dismissed the demand as unserious and part of a harassment campaign, while Microsoft declined to comment on the damages amount. Both companies have filed motions challenging Musk's expert analysis, calling it unverifiable and unprecedented.
