A group of twelve former employees of OpenAI submitted a legal brief on Friday in support of co-founder Elon Musk’s lawsuit aimed at preserving the organization’s non-profit status. This action highlights the ongoing conflict regarding the direction of the artificial intelligence company.
Corporate executives seek to grant investors greater control, raising considerable concerns and prompting legal action from Musk and others who argue that commercial interests should take a backseat to humanitarian objectives.
Last year, Musk, also the CEO of electric vehicle manufacturer Tesla, filed a lawsuit against OpenAI and its CEO Sam Altman, alleging that the organization has deviated from its original mission of developing AI for the benefit of humanity rather than for profit. Both OpenAI and Altman have refuted these claims.
In their federal court filing, the former OpenAI staff members argued that dismantling the non-profit’s control would “fundamentally violate” its core mission, as it would diminish oversight of the for-profit AI development activities.
The ex-employees, who claimed to have held technical and leadership positions within the company, emphasized that the nonprofit’s oversight was vital to OpenAI’s strategic direction. They noted that during their tenure, OpenAI leadership consistently highlighted the necessity of this structure for the organization to fulfill its objectives. This framework also aided recruitment efforts, as many joined the company inspired by its mission.
OpenAI contends that relinquishing some of the nonprofit’s authority is essential for attracting investments. The organization asserts that it will maintain a share in OpenAI, which is anticipated to grow in value, thus providing ample resources for fulfilling its mission.
In a public statement, OpenAI maintained that this transition would not compromise its mission, saying, “Our Board has been very clear: our nonprofit isn’t going anywhere and our mission will remain the same.”
Musk and Altman were co-founders of OpenAI in 2015, although Musk departed before the organization rose to prominence in the tech field. Musk’s resistance to the proposed structural changes initiated the current lawsuit, with a jury trial scheduled for the spring of next year.
Additionally, Musk has launched his own AI company, xAI, in 2023, while Altman has raised allegations that Musk is trying to hinder a competitor’s progress.
Amid all this, OpenAI is under pressure from investors to amend its organizational structure. To secure a significant $40 billion fundraising round, the company must finalize its transition by the end of this year.
© Thomson Reuters 2025
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