World

US judge dismisses Musk's fraud claims in OpenAI case

By AAP Newswire

Apr 25, 2026

A US judge has dismissed Elon ‌Musk's fraud claims in his lawsuit accusing OpenAI ‌and co-founder Sam Altman of betraying OpenAI's original mission, but ‌plans to proceed to trial on Musk's breach of charitable trust and unjust enrichment claims.

Hold tight - we’re checking permissions before loading more content

The ruling was issued by US District Judge Yvonne Gonzalez Rogers ‌in Oakland, California.

Jury ‌selection ⁠is scheduled to begin on Monday, and opening arguments are expected on Tuesday.

Musk had said dismissing his fraud and constructive fraud claims, which he proposed, would streamline the case and keep jurors focused ⁠on his goal ‌of ensuring that OpenAI benefit humanity rather than be a "wealth machine."

The case ‌centers on Musk's claim that OpenAI, Altman and Microsoft, one of OpenAI's largest investors, conned him and the public by forming a for-profit entity in 2019, after he left OpenAI's board.

OpenAI is preparing ‌for a potential initial public offering that could value it at $US1 trillion, Reuters has reported.

Musk is seeking $US150 billion in damages, according to a person involved in the case, with proceeds going to OpenAI's charitable arm.