Elon Musk's Courtroom Admission on OpenAI Funding and Its Impact

By Patricia Miller

May 10, 2026

2 min read

Elon Musk regrets funding OpenAI in a trial addressing its shift from non-profit to for-profit, revealing significant organizational changes.

Elon Musk recently testified in a federal courtroom in Oakland, California, where he expressed regret over his decision to fund OpenAI, the organization he co-founded in 2015. This trial, overseen by Judge Yvonne Gonzalez Rogers, centers on whether OpenAI strayed from its initial mission as a non-profit when it transitioned into a for-profit model.

Musk's behavior during the proceedings has caught the court's attention, with the judge intervening to maintain proper decorum. His testimony has been notably charged with emotional undertones. Alongside him, Greg Brockman, another co-founder of OpenAI, faced rigorous questioning. The trial has seen skilled litigators dissect the pivotal changes that moved OpenAI from a non-profit research entity to a company now valued at hundreds of billions.

Key evidence presented revealed that Musk sought to take control of OpenAI around 2017. When he was denied that opportunity by other co-founders, he withdrew his financial backing. The trial has further uncovered Musk’s efforts to recruit OpenAI researchers for his new business ventures, which ultimately led to his departure from OpenAI’s board in 2018.

This trial holds significance beyond the legal arguments presented in the courtroom. OpenAI was founded with the belief that artificial general intelligence should serve the interests of humanity as a whole. Now operating with a capped-profit model and having engaged in substantial funding arrangements with Microsoft, it competes directly with industry giants like Google, Anthropic, and Musk’s own company, xAI. Musk not only distanced himself from OpenAI but also established xAI, positioning it as a rival in the development of large language models.

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