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Judge indicates Elon Musk’s fraud lawsuit against OpenAI will head to trial

A federal judge ruled there is enough evidence for a jury to decide if OpenAI misled Elon Musk about shifting from nonprofit to a $500 billion for-profit model.

  • A U.S. judge ruled that Elon Musk's lawsuit accusing OpenAI of abandoning its nonprofit mission for profit can proceed to a jury trial.
  • Musk alleges he provided about $38 million based on OpenAI's assurances it would remain a nonprofit, but it shifted to a for-profit model.
  • OpenAI denies the claims, calling Musk a commercial rival trying to undermine a leading AI company.
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Musk sued the colossus that develops ChatGPT and his ad, Sam Altman, accusing them of violating the company's mission by turning into a profit company.

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Reuters broke the news in United Kingdom on Wednesday, January 7, 2026.
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