Elon Musk seeks between $79 billion and $134 billion in damages from OpenAI and Microsoft, according to a recent Bloomberg report detailing a lawsuit filing against the AI firm for alleged abandonment of its non-profit mission.
Musk’s claim for damages stems from OpenAI’s $500 billion valuation, to which he contributed $38 million in seed funding during the company’s early stages. The filing states Musk provided approximately 60% of the non-profit’s seed funding, employee recruitment, business introductions, and startup guidance.
The financial estimate was calculated by C. Paul Wazzan, a financial economist acting as Musk’s expert witness. Wazzan’s assessment indicates OpenAI gained between $65.5 billion and $109.43 billion in wrongful gains, while Microsoft’s portion is estimated between $13.3 billion and $25.06 billion.
The legal dispute between Elon Musk and OpenAI began in March 2024 when the xAI CEO initiated a lawsuit alleging OpenAI breached its non-profit commitment. Musk subsequently included Microsoft as a defendant and attempted to secure an injunction when OpenAI announced corporate restructuring efforts.
Beyond this lawsuit, Musk has filed another legal action against OpenAI. This additional suit also names Apple, accusing both companies of monopolistic practices that impede xAI’s access to the App Store.
