Inside AI Policy

May 16, 2025

Judge allows Musk’s fraud claims against OpenAI to proceed, in order narrowing case

By Rick Weber / May 2, 2025

A federal district judge has allowed Elon Musk’s claims of fraud against OpenAI to proceed in a case seeking to block the company’s move from a nonprofit to a for-profit enterprise, in an order that also granted OpenAI’s request to throw out portions of the high-profile lawsuit.

“For purposes of the instant motion, Musk adequately alleges that the defendants promised to maintain OpenAI’s non-profit status and structure in order to obtain his contributions, and that they intended to do so...


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