Musk to appeal OpenAI case after losing on timing
Musk vows – Elon Musk says he will appeal an Oakland jury’s ruling against his lawsuit over OpenAI’s shift from a nonprofit to a partial for-profit model, arguing the case was dismissed on a calendar “technicality.” The judge accepted the unanimous verdict, and Musk also
Elon Musk didn’t wait long after the verdict. On May 18, 2026, the Tesla CEO posted on X that his fight against OpenAI and Sam Altman “isn’t over,” promising to appeal.
He pinned the loss to timing rather than substance. “Regarding the OpenAI case, the judge & jury never actually ruled on the merits of the case, just on a calendar technicality,” Musk wrote. He said he would appeal the decision to the Ninth Circuit Court of Appeals.
In the courtroom in Oakland. California. a jury had already delivered what Musk and his team called a major setback for him.. The jury ruled that Musk waited too long to bring his lawsuit.. The lawsuit alleged that Musk was scammed out of his early investment in OpenAI when the nonprofit research lab pivoted into a partial for-profit company.
US District Judge Yvonne Gonzalez Rogers accepted the unanimous verdict quickly after the trial.
Musk’s reaction was sharper than the legal language of the ruling. “There is no question to anyone following the case in detail that Altman & Brockman did in fact enrich themselves by stealing a charity,” he wrote. “The only question is WHEN they did it!”
On another post, Musk went after Gonzalez Rogers again, without naming her.. “This illustrates why the ruling by the terrible activist Oakland judge. who simply used the jury as a fig leaf. creates such a terrible precedent. ” he wrote.. He added: “She just handed out a free license to loot charities if you can keep the looting quiet for a few years!”
Behind the personal dispute is a high-stakes financial and corporate backdrop.. OpenAI and Altman faced potential substantial losses if the case had gone Musk’s way—potentially being on the hook for billions in damages.. The timeline of that risk matters to investors too, with the leading AI firm viewed as approaching a public offering.
Musk also asked that Altman, once an ally, be removed as CEO. That request, tied to the allegations at the center of the lawsuit, was part of what the trial put on the line.
In court. OpenAI and Altman’s lawyers argued the evidence showed Musk knew and supported the company’s plans to raise capital by partnering with another major tech company.. They also told jurors that Musk pushed for OpenAI to form a relationship with Tesla at one point.. Their account framed Musk’s lawsuit as a late attempt to hobble OpenAI after it moved on from xAI.
Musk and Altman both testified. Musk told the jury through his own testimony that he didn’t read the “fine print” of an OpenAI term sheet detailing its plan to establish a for-profit entity.
OpenAI did not immediately respond to a request for comment.
What the verdict changed—at least for now—was where the fight would continue.. The jury in Oakland concluded the lawsuit was filed too late, and the judge accepted that unanimous decision.. Musk, for his part, is now shifting the battleground to the Ninth Circuit, arguing the merits were never reached.
Elon Musk OpenAI Sam Altman Yvonne Gonzalez Rogers Ninth Circuit statute of limitations Oakland jury verdict AI public offering lawsuit for-profit pivot