Musk messaged OpenAI's Brockman for settlement days before Oakland trial start

Elon Musk contacted OpenAI President Greg Brockman on April 25 to explore settlement options two days before jury selection in their Oakland federal civil trial. OpenAI lawyers disclosed the exchange Sunday in a filing seeking admission as evidence of Musk's competitive motives. Brockman proposed mutual claim dismissals, prompting Musk's reply: "By the end of this week, you and Sam will be the most hated men in America. If you insist, so it will be."

Musk's 2024 suit accuses OpenAI, CEO Sam Altman, and Brockman of deceiving him into cofounding the nonprofit in 2015 with $38 million in donations. He alleges abandonment of open-source AGI for humanity in favor of capped-profit Microsoft partnership now valued near $1 trillion. Musk testified the shift constituted breach despite no formal contracts.

Trial began April 27 before Judge Yvonne Gonzalez, featuring Musk's multi-day testimony. He admitted xAI distilled OpenAI models, potentially breaching terms, while denying binding nonprofit permanence. Cross-examination highlighted 2018 resignation email praising leadership.

OpenAI contends no agreements barred for-profit evolution amid competitive pressures from Google and Anthropic. Lawyers argue Musk aims to kneecap rivals via xAI and Grok, citing $97.4 billion valuation.

Musk seeks OpenAI nonprofit reversion, Altman/Brockman removal, and $150 billion damages funneled to charity. OpenAI pursues countersuit dismissal alleging bad faith.

Testimony covered Burning Man origins where founders sketched mission, Brockman's "$1B" diary entry valuing his stake, and Shivon Zilis' board role as Musk's partner. Judge admitted select texts, journals, and 2017 emails.

Microsoft's licensing deal faces unwind demands if Musk prevails. Proceedings extend weeks, with Altman testimony pending mid-May. Closing arguments target June.

The dispute defines AI governance amid hyperscaler valuations exceeding $10 trillion. Resolution could reshape lab structures, capital rules, and open-source norms.

Analysts monitor jury impact from Musk's demeanor and evidence. xAI raised $6 billion recently, intensifying rivalry.

Oakland venue selected for California ties. Spectators filled gallery during Musk's stand.