OAKLAND, California — Jan 17, 2026 Elon Musk is seeking as much as $134 billion in damages from OpenAI and Microsoft, arguing that the two companies improperly profited from his early financial and strategic support of the artificial intelligence startup, according to a court filing submitted on Friday.
In the filing, Musk claims OpenAI gained between $65.5 billion and $109.4 billion, while Microsoft benefited by $13.3 billion to $25.1 billion, from his involvement in OpenAI’s formative years. Musk co-founded OpenAI in 2015 but left the organization in 2018.
The compensation claim was outlined ahead of a jury trial scheduled to begin in April in federal court in Oakland, California.
“Without Elon Musk, there would be no OpenAI,” said his lead trial lawyer, Steven Molo. “He provided most of the seed funding, lent credibility to the venture, and shared expertise on scaling technology companies. A pre-eminent expert quantified the value of those contributions.”
OpenAI dismissed the demand, calling it “unserious” and characterizing the lawsuit as part of what it described as an ongoing harassment campaign by Musk. Microsoft declined to comment on the amount sought.
Dispute Over OpenAI’s Mission and Structure
Musk alleges that OpenAI abandoned its original nonprofit mission to develop artificial intelligence for the benefit of humanity when it restructured into a for-profit entity and deepened its partnership with Microsoft.
According to the filing, Musk contributed approximately $38 million, representing about 60% of OpenAI’s early seed funding, helped recruit key personnel, connected the founders with influential contacts, and lent his reputation to the project during its early stages.
Musk argues that, as with early startup investors, his initial contributions entitle him to returns far exceeding his original investment if the companies are found to have profited unlawfully.
The damages calculations were prepared by Musk’s expert witness, financial economist C. Paul Wazzan.
Companies Push Back on Damages Claims
OpenAI and Microsoft have challenged Musk’s damages claims in a separate filing, asking the court to limit what his expert may present to jurors. The companies argue the analysis is speculative, unverifiable, and unprecedented, and that it seeks an implausible transfer of billions of dollars from a nonprofit organization to a former donor who now runs a competing AI company.
Microsoft’s legal team has also rejected allegations that the company “aided and abetted” OpenAI in violating its founding principles.
If a jury finds either company liable, Musk may seek punitive damages and other remedies, including a possible injunction, though the filing does not specify what form such relief might take.
Musk currently leads xAI, which develops the Grok chatbot in direct competition with OpenAI’s ChatGPT.
