Elon Musk’s long legal campaign against the company he co-founded ended its first round quickly. On May 18, 2026, after a trial of about three weeks, a federal jury in Oakland took less than two hours to reject his claims against OpenAI.

What the jury decided

The case, heard before US District Judge Yvonne Gonzalez Rogers, centred on Musk’s argument that OpenAI and its leaders had betrayed the non-profit mission he funded in its early years by building a for-profit business with Microsoft.

The nine jurors never reached that question. They unanimously found that Musk had sued too late: the deadline was three years for his claim of breach of charitable trust and two years for unjust enrichment, according to NBC News and Al Jazeera. As a result:

  • OpenAI, Sam Altman and Greg Brockman were found not liable.
  • Microsoft was cleared of aiding and abetting.

Musk had asked that any damages go to OpenAI’s charitable arm and that Altman be removed from the board.

Judge Gonzalez Rogers said there was a substantial amount of evidence supporting the jury’s finding. Al Jazeera noted that she treated the timing question as a matter of fact for the jury, which can make an appeal harder.

The reactions

Musk said on X that the judge and jury had never ruled on the merits of the case, and that he would appeal. Microsoft said it welcomed the decision to dismiss the claims as untimely.

Why it matters

  • OpenAI’s structure survives its biggest legal test. The verdict cleared the way for the record fundraising OpenAI completed later in the year, without a court fight over whether its for-profit arm could exist.
  • The mission question is still open. Because the case turned on timing, no court has decided whether OpenAI’s shift away from its original non-profit model was lawful. That debate continues in other forums, including state attorneys general.
  • Musk’s rivalry continues elsewhere. His AI company xAI had merged with SpaceX in February, putting him in direct commercial competition with OpenAI regardless of the appeal.

Sources

  1. NBC News: Jury rules for OpenAI in Elon Musk case (May 18, 2026)
  2. Al Jazeera: Elon Musk loses lawsuit against OpenAI (May 18, 2026)

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