TechFlow News: On May 12, according to CNBC, Elon Musk’s lawsuit against OpenAI continued at the U.S. federal court in Oakland, California. Bret Taylor, Chairman of OpenAI’s Board of Directors, testified again on Tuesday local time, followed by CEO Sam Altman, who took the stand to respond to the allegations. In his testimony, Taylor described the company’s situation during Altman’s brief removal in 2023 as “dire” and stated that, under the current corporate structure, the nonprofit entity still retains control. He added that investors—including SoftBank and Thrive Capital—made their investments conditional upon this new structure. Microsoft CEO Satya Nadella also testified on Monday, defending Microsoft’s investment of over $13 billion and stating that Musk had never contacted him regarding compliance issues related to the investment.
Additionally, James Comer, Chairman of the House Oversight Committee, has sent a letter to Altman requesting clarification by May 22 on potential conflicts of interest—including Greg Brockman’s ownership of shares in Altman’s personal fund and OpenAI’s planned investment in Helion, a nuclear fusion company in which Altman holds a personal stake. In the lawsuit, Musk alleges that Altman and others violated OpenAI’s original nonprofit mission and used approximately $38 million of his donation for unauthorized commercial purposes.
