The businessman is now ordered to pay $150 billion. A federal jury found the defendants not guilty on all charges.
A federal court in Oakland, California, has fully dismissed Elon Musk’s lawsuit against OpenAI, Sam Altman, Greg Brockman, and Microsoft. The jury found the defendants not guilty on all charges.
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Reason for Defeat — Statute of Limitations
The decision was reached on May 19, 2026, after less than two hours of jury deliberation. The court concluded that Musk had missed the legally established deadlines for filing claims. Different parts of the lawsuit had statutes of limitations ranging from two to three years, and most of the alleged violations dated back to the period before 2021-2022.
Musk had claimed that OpenAI had strayed from its original non-profit mission, established in 2015, and transformed into a for-profit commercial entity focused on making money. According to him, the company’s leadership and Microsoft had “stolen a charitable organization” for personal gain. The plaintiff had sought compensation of up to $150 billion.
Reaction From Both Sides
OpenAI representatives called the lawsuit a “belated fabrication” and an attempt to pressure a competitor. Microsoft welcomed the court’s decision and confirmed its continued strategic partnership with OpenAI.
Elon Musk has stated his intention to appeal.
What This Means for the Crypto Industry
The court’s decision removes one of the main legal hurdles for OpenAI. The company completed its restructuring in October 2025, separating its commercial and non-profit arms, and is now preparing for a potential IPO.
The conflict between Musk and OpenAI continues. The company has filed a counterclaim, accusing Musk of unfair competition practices. Additionally, xAI is involved in several separate legal proceedings against OpenAI and Apple.
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