OpenAI Trial Day Heats Up as Altman Prepares to Take the Stand
CNBC reported Tuesday that OpenAI CEO Sam Altman is expected to take the stand in federal court in Oakland, California. His Sam Altman testimony follows that of OpenAI board chair Bret Taylor, who began answering questions late Monday. The trial centers on a lawsuit filed by Elon Musk against OpenAI, Altman, and company president Greg Brockman.
Musk Alleges a Charity Was Stolen
Musk, who co-founded OpenAI alongside Altman and Brockman in 2015, filed the suit in 2024. He argues that the company abandoned its founding commitment to operate as a nonprofit. Musk donated roughly $38 million to the organization and claims those funds were later directed toward unauthorized commercial activity. During his own time on the stand last week, Musk accused Altman and Brockman of trying to personally enrich themselves. He described their conduct as an attempt to “steal a charity,” according to CNBC.
Taylor Paints the 2023 Board Crisis as Dire
Taylor’s testimony offered a window into OpenAI’s turbulent recent history. He agreed to chair the board during the crisis period when Altman was briefly removed as CEO in late 2023. Taylor described those days as “dire,” warning the organization risked total collapse without a swift resolution. He spoke so rapidly on the stand that Judge Yvonne Gonzalez Rogers had to repeatedly ask him to slow down for the court reporter. Taylor also defended the company’s recent corporate restructuring. He said the new setup simplifies things for employees and outside investors, while insisting the nonprofit entity retains control. He noted that major backers including SoftBank and Thrive Capital conditioned their investments on that structural shift.
Background: A High-Stakes Conversion Under Scrutiny
OpenAI’s move away from its original nonprofit structure has drawn sustained regulatory and public attention. Critics argue the company’s commercial ambitions now overshadow its stated safety mission. The trial, which opened late last month, is one of the most closely watched technology legal proceedings in years.
Congress Adds Pressure With Conflict-of-Interest Demand
The courtroom drama is not OpenAI’s only institutional headache this week. House Oversight Committee Chair Rep. James Comer sent Altman a letter Friday demanding disclosures on how the company handles conflicts of interest. Comer cited Brockman’s reported equity stakes in startups that Altman backs personally. The letter also flagged OpenAI’s proposed investment in Helion, a nuclear fusion venture in which Altman holds a personal financial interest. Comer requested all relevant board policies and audit committee records by May 22. The inquiry adds congressional scrutiny to an already pressure-filled week for Altman, who must now defend his record directly under oath.
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