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Musk's $134B OpenAI Claim: Did Early Investment Inflate Value?

Elon Musk is seeking up to $134 billion in damages from OpenAI and Microsoft. The lawsuit accuses OpenAI of abandoning its original nonprofit mission. Musk filed a notice on Friday outlining the remedies sought.

Musk claims his early contributions significantly boosted OpenAI's current value. An expert hired by Musk, C. Paul Wazzan, estimated Musk's contributions accounted for 50-75% of OpenAI's worth. Wazzan considered Musk's financial input, proposed equity, stake in xAI, and non-monetary contributions before 2018.

OpenAI and Microsoft are contesting the damage claim. They filed a motion to exclude Wazzan's opinions. The tech giants could also face punitive damages if they lose the case.

Musk, an early investor, alleges OpenAI prioritized profit over its initial goals. This shift, he claims, violates their founding agreement. The lawsuit highlights ongoing debates about AI development and its societal impact.

The court will now consider the motion to exclude Wazzan's testimony. The outcome could significantly impact the future of OpenAI and its relationship with Microsoft.

AI-Assisted Journalism

This article was generated with AI assistance, synthesizing reporting from multiple credible news sources. Our editorial team reviews AI-generated content for accuracy.

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