Elon Musk Demands Removal of Sam Altman from OpenAI Board and Seeks $150 Billion

Elon Musk, a prominent American billionaire and co-founder of OpenAI, has initiated legal proceedings aimed at removing Sam Altman, the head of the organization, from the board of directors of the OpenAI Foundation, which oversees the activities of the organization. This information was reported by The Wall Street Journal, highlighting that hearings on Musk's lawsuit will commence this month in Oakland, California.

In his lawsuit, Musk is demanding more than $150 billion from OpenAI and its partner, Microsoft Corp. He believes that OpenAI has deviated from its original non-profit mission, which has caused him significant harm due to the organization's transformation into a commercial entity.

Furthermore, Musk is insisting that any compensation for damages that may be awarded as a result of this lawsuit should belong to the OpenAI Foundation. He is requesting that Altman and OpenAI President Greg Brockman transfer their shares and other financial assets to the foundation.

Musk's attorney, Mark Toberoff, noted that changes to the lawsuit were made to emphasize that his client “is not seeking a single dollar for himself.” He explained that Musk is asking the court to return everything that was taken from the public charity and to ensure that those responsible do not have the opportunity to repeat their actions in the future. Toberoff stressed that this has been the essence of Musk's claims from the outset of the case, until PR strategists from OpenAI began distorting it.

In response to Musk's lawsuit, OpenAI issued a statement on the social media platform X, which is owned by Musk himself. In the statement, the company described the lawsuit as “a campaign of harassment based on self-interest, jealousy, and a desire to hold back a competitor.” Microsoft, for its part, declined to comment on the situation.

Additionally, OpenAI sent a letter to the attorneys general of Delaware and California, accusing Musk of “spreading false and utterly baseless claims in a desperate attempt to discredit OpenAI and its leadership.” In this letter, the company also called for an investigation into Musk's “improper and anti-competitive” behavior and that of individuals associated with him.

OpenAI was founded in 2015 as a non-profit research laboratory with the goal of developing artificial intelligence for the benefit of humanity. Initially, Altman and Musk served as co-chairs of the board, but Musk left the company in 2018. In 2019, OpenAI launched a commercial arm that subsequently attracted investments from Microsoft and other investors.

Later, Altman transformed this division into a public benefit corporation (PBC). The parent non-profit organization received a stake in the newly formed company and the ability to scale its growth in accordance with its increasing value. Today, OpenAI is valued at $852 billion and plans to conduct an initial public offering (IPO) this year.