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Elon Musk blasts OpenAI 'bait-and-switch' during heated Day 2 testimony

Elon Musk testified on Day 2 of his civil trial accusing OpenAI and Microsoft of a "bait-and-switch" after Microsoft invested $10 billion in OpenAI in early 2023. Musk, who co-founded OpenAI and left in 2018, says the company abandoned its nonprofit mission and that Microsoft stands to be unjustly enriched; his 2024 lawsuit seeks damages tied to that claim. The testimony highlights legal and reputational risk for Microsoft (MSFT.OQ) and OpenAI, which could influence investor sentiment even though the article does not report immediate market moves. The monthlong trial will feature further testimony from tech leaders, keeping the companies under scrutiny.

Category

Microsoft

Sentiment

Neutral

Event

Legal action

Reading time

1 min