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OpenAI

OpenAI kicked off an AI revolution with DALL-E and ChatGPT, making the organization the epicenter of the artificial intelligence boom. Led by CEO Sam Altman, OpenAI became a story unto itself when Altman was briefly fired and then brought back after pressure from staff and Microsoft, an investor and close partner.

Elizabeth Lopatto
Elizabeth Lopatto
“His story will correctly be that we weren’t honest with him in the end about still wanting to do the for profit just without him.”

Greg Brockman’s journal really is making Greg Brockman look unreliable. Six days after telling Musk that Brockman et al. wanted more results in the nonprofit and to fundraise there, he writes, “We’ve been thinking about that maybe we should just flip to a for-profit. making money for us sounds great and all.” Brockman says this was an expression of a frustration and not a plan. Molo asks if he rehearsed that. Brockman says “no.”

Elizabeth Lopatto
Elizabeth Lopatto
Greg Brockman’s journal: “it’d be wrong to steal the non-profit from him.”

He also writes, “To convert to a b-corp without him. That’d be pretty morally bankrupt.” That’s probably the most solid thing the Musk team has gotten out during the trial so far.

Elizabeth Lopatto
Elizabeth Lopatto
Brockman is not doing himself any favors.

Molo asks if the nonprofit should still be a philanthropic endeavor. Brockman says, forcefully, “no.” We then look at notes from his diary, where he records Musk as saying “gotta figure out how do we transition from non-profit or something which is essentially philanthropic endeavor and is b-corp or c-corp.” Does make Brockman look pretty shifty.

Elizabeth Lopatto
Elizabeth Lopatto
Brockman’s cross-examination isn’t as testy as Musk’s, but he’s also pushing back on a lot of questions.

We are hearing a lot of “I wouldn’t characterize it that way,” “I’m not sure I’d say it that way,” and “This sounds like something that I wrote, is it okay if we see it in context?” It’s not as contentious or tense as Musk’s exchanges with Savitt, but it’s definitely notable.

Elizabeth Lopatto
Elizabeth Lopatto
Is sending stuff to Sam Teller and Shivon Zilis the same as sending it to Musk?

The question is whether Brockman disclosed his ownership of Cerebras when OpenAI was discussing merging with it. Brockman told Teller and Zilis, who were in theory Musk’s chiefs of staff, but not Musk himself. Molo is driving this home, which… I am less convinced by. Lots of executives delegate.

Elizabeth Lopatto
Elizabeth Lopatto
Brockman and Altman’s alliance?

Musk’s team is finally landing some serious blows — namely that part of Brockman’s compensation was a grant from Altman’s family office. Musk’s adviser Jared Birchall wrote, “Greg is going to have a greater allegiance toward Sam as a result of this arrangement.” Brockman told Musk that “We ran out of YC stock fulfilling others’ offers” so Altman arranged the deal.

Molo is saying it’s a “side deal” that Musk wasn’t informed about. Except the email chain plainly says Altman informed Birchall directly, who then emailed Musk. I imagine that will come on direct. Still, the financial conflict of interest is the most undermining information I’ve seen from Musk’s team so far.

Elizabeth Lopatto
Elizabeth Lopatto
“Is Demis Hassabis evil?”

At a dinner about AI that Brockman and Altman attended, Musk was late. The first thing Brockman remembers Musk asking is, “Is Demis Hassabis evil?” Hassabis, of course, ran DeepMind.

Elizabeth Lopatto
Elizabeth Lopatto
Greg Brockman is talking about the earliest days of OpenAI.

It was initially supposed to be part of Y Combinator, as a research arm. Looking at a solicitation email from Brockman to then-CEO of Yahoo Marissa Mayer, Brockman writes that donors include Elon Musk, Jessica Livingston, Reid Hoffman, and Peter Thiel. “I’m personally donating $100,000,” he writes. But he didn’t end up donating that. Brockman is speaking very quickly and very softly, and YGR has just scolded him for it.

Elizabeth Lopatto
Elizabeth Lopatto
Greg Brockman and Sam Altman have just entered the courtroom.

Brockman is taking the stand next.

Elizabeth Lopatto
Elizabeth Lopatto
We’re done with Russell.

I still don’t really understand how this expert helps Musk’s case, if at all.

Elizabeth Lopatto
Elizabeth Lopatto
“The age of abundance for Elon.”

We are now going through previous statements that Russell has made about Musk — for instance, Russell says that the “age of abundance” Musk talks about with AI robots will be great for Musk because of his pay package with Tesla. Also that Russell would not recommend that Musk be an AI adviser for President Trump.

Elizabeth Lopatto
Elizabeth Lopatto
Oh now we have some meat.

The expert has testified in front of the US Senate about the dangers of open-sourcing AI systems. “If we open-source AI systems that are unsafe, we dramatically increase the risks,” Russell says. One of Musk’s contentions is that OpenAI is betraying its mission by not open-sourcing its models. Russell is now saying, in response to cross-examination, that open-sourcing can make it easier to remove safety guardrails that have been put in place. “It requires additional and very stringent safety measures.”

Adi Robertson
Adi Robertson
Elon Musk’s expert doesn’t follow him on X.

And he thinks posts are still called tweets. (The post is about AI creating so much wealth that “everyone can have a penthouse if they want.”) We’re getting some meandering analysis of AI creating prosperity, but even the judge seems frustrated at this point.

Elizabeth Lopatto
Elizabeth Lopatto
I am befuddled by this expert testimony.

I really have no idea what it adds to Musk’s case. It seems to just be a way of running out the clock — but why bother? Is it just a way of giving OpenAI less time to defend themselves?

Elizabeth Lopatto
Elizabeth Lopatto
We are dealing with the cross now.

It’s very boring. Mainly we are establishing that the expert witness provided no specific opinions on OpenAI’s safety.

Elizabeth Lopatto
Elizabeth Lopatto
Sure is lucky that mentions of Grok’s safety issues got limited.

Because otherwise, this would be the guy to ask about the nonconsensual undressing and MechaHitler. We are getting slowly to the point, I think — which is that Russell suggests safety concerns would slow AI development. “Each company individually feels it needs to be in this race,” he says. “That means they can’t stop and solve the safety problem, which I think some of their employees would like to do, but the overall company police is preventing them.”

Adi Robertson
Adi Robertson
Individual vs. systemic risk.

Russell is asked next about risk. He starts with individual risk, including algorithmic discrimination, which he says is “much more widespread” than people expect. He also mentions the possibility of AI systems reinforcing “delusional beliefs” — like, in his example, “Vladimir Putin is an alien.” Then there’s systemic risk — like AI systems taking jobs at a large scale. Russell mentions computer science students having trouble getting work already, and he expects it will accelerate.

As Russell keeps going, the opposition lawyer objects that this is speculative, and Judge Gonzalez Rogers asks to move on — which Musk’s lawyer does by promptly asking again about jobs. Another objection is sustained, and Russell starts talking about people using AI to magnify harm, like cyberattacks. He mentions Mythos, and the opposition lawyer gets it stricken from the record as outside the scope. None of this particularly relates to OpenAI so far — it’s basically a generic overview of AI risks, which Musk has been focusing on as central to the trial, despite some limits from YGR. And we’ve already run through 20 minutes of the 30 allotted for direct testimony.

Elizabeth Lopatto
Elizabeth Lopatto
We now have a very boring expert witness testifying to AI risks.

His name is Stuart Russell, and he’s getting $4,000/hr for his first 40 hours of working with the team (and $1,500/hr after that). Seems like an expensive way for Musk’s lawyers to run out the clock… Because while we are getting some testimony about AI risks, I don’t really understand how this is relevant to the dispute at hand.

Adi Robertson
Adi Robertson
Stuart Russell is here to tell us about AI.

Russell is first asked about the positive aspects of AI — he mentions medical technology and AlphaFold, which can predict protein structures. Also mentions Waymo self-driving cars, which he describes as “extremely safe.” There can also be “broad economic benefits” where systems can be used to develop software, “where the AI can actually write software much faster and cheaper than human beings.”

Adi Robertson
Adi Robertson
“I need that today. That’s good. I like that.”

Judge Yvonne Gonzalez Rogers says she got some “May the 4th be with you” jokes from her kids today as we get started. Apparently she appreciated them. After that, the day kicks off with expert testimony from computer scientist Stuart Russell.

Elizabeth Lopatto
Elizabeth Lopatto
Greg Brockman won’t be asked about Musk’s threat.

We’re going through motions before the jury arrives. The motion I highlighted earlier this morning has been denied; YGR says the time to bring in the threats from Musk was when Musk was on the stand.

Elizabeth Lopatto
Elizabeth Lopatto
Elon Musk tried to settle before the trial — and got threatening.

In response, Greg Brockman suggested both OpenAI and Musk drop their claims. Musk wasn’t interested. “By the end of this week, you and Sam [Altman] will be the most hated men in America,” he told them. OpenAI’s lawyers are trying to get the statement admitted to court as evidence that “Mr. Musk’s motivation in pursuing this lawsuit is to attack a competitor and its principals.”

Richard Lawler
Richard Lawler
Musk v. Altman is getting a live audio stream next week.

In addition to our ongoing reporting from the courtroom and digging through newly released evidence, you will be able to listen in live via YouTube. While recording or rebroadcasting the stream is prohibited, we can expect it to be live generally between 11AM and 5PM ET while court is in session.

For now, though, Hayden Field can catch you up on all the evidence released.

Richard Lawler
Richard Lawler
OpenAI Tesla receipts and other Musk v. Altman documents.

No courtroom updates today, but we have updated our rundown of the evidence with the latest exhibits added in Elon v. Musk, including details of the donated Tesla Model 3s.

Screenshots of emails from OpenAI and from Jared Birchall regarding Founder Series Tesla Model 3s donated for people on the project.
All the evidence revealed so far in Musk v. Altman

Emails going as far back as 2015 give a glimpse into the foundations of OpenAI and the early tensions at the company.

Hayden Field and Adi Robertson
Richard Lawler
Richard Lawler
Here’s how Gabe Newell and Hideo Kojima ended up in the Musk v. Altman evidence.

Among the evidence released publicly, there’s this email exchange (Exhibit No. 844) between Valve cofounder Gabe Newell and Elon Musk about, of all things, trying to get a SpaceX tour and OpenAI introduction for Hideo Kojima.

Musk also wrote that he’d lost confidence in OpenAI competing with “Google/Deepmind” and decided to attempt that through Tesla instead, while pumping up Neuralink’s progress. Newell has since launched his own BCI company, Starfish.

Screenshot of Musk email response to Newell: “Sure, it would be great to meet Hideo Kojima and he’s welcome to see the rocket factory. No problem to send him my email. Best person to talk 0 at Neuralink is Max Hodak (max@neuralink com), who is the de facto head of day to day operations. Shivon Zilis is also worth talking to (predictably at shivon@neuralink). We’ve made some pretty insane technical progress. This is highly confidential, but we’re now able to implant ~6000 electrodes in a monkey brain with decent signal/noise. Moreover, the electronics are compact enough to be flush with the skull and the only thing visible is the USB-C opening and slight surround. Very trippy. Just like Neuromancer. Regarding OpenAL my involvement is very limited at this point. I still provide some financial support and get verbal and email updates every few wecks from Sam Altman, but don’t spend time there. I lost confidence that OpenAl could muster the resources to serve as an effective counterweight to Google/Deepmind and decided to attempt that through Tesla instead. We have cash flow on the order of billions of dollars per year to build hardware that hopefully has atleast a dark horse chance to keep Google honest. Probably worth talking about at some point.”
Screenshot of Gabe Newell email to Musk: For a long time | thought neuromodulation (e: TMS) was weird, mainly because | had an unsophisticated understanding of a bunch of aspects of the brain. I’ve more or ess done a 180, and think there is a significant near-term consumer marke. Is this something | should bring up with the Neuralnk team? If so, anyone in particular | should chat with there? Hope you are well
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The craziest part of Musk v. Altman happened while the jury was out of the room

Jared Birchall, Musk’s money manager, answered a question he wasn’t supposed to.

Elizabeth Lopatto
Elizabeth Lopatto
Elizabeth Lopatto
Jury is being dismissed early so YGR can deal with an objection to Birchall’s testimony.

After Birchall said he had no firsthand knowledge of the xAI bid for OpenAI’s assets, OpenAI’s lawyer asked that his testimony from the direct examination be struck. We are going to hear about that now, outside the presence of the jury.

Elizabeth Lopatto
Elizabeth Lopatto
Birchall is actually very funny outside of court? Good for him.

He sees the OpenAI for-profit term sheet and writes to Shivon Zilis: “Pretty plain vanilla for-profit structure. So kinda hard to push a narrative that doesn’t involve investors being very focused on ROI. I’m a super fan of capitalism and making tons of money doing great things but not sure if this correlates with the ‘noble cause for humanity, not doing it to make money’ narrative. Did he/would he [Altman, lower on the email chain] offer E a board seat?”

Elizabeth Lopatto
Elizabeth Lopatto
We are now hearing about the pause in quarterly donations.

We saw Chris Clark’s email about pausing donations yesterday during Musk’s testimony. Today, we see an email from Birchall: “This was ready to go out when I was told that Elon informed Greg and Ilya that the funding would be on pause until they came to terms on the right path moving forward.”
This was while there were discussions of how to put the for-profit Musk wanted together.

Elizabeth Lopatto
Elizabeth Lopatto
We’re back.

And we are talking with Birchall about tax deductions for charitable giving.

Emma Roth
Emma Roth
OpenAI adds stronger security features for users at high-risk of hacks.

Users who enroll in the startup’s advanced account security settings can sign into their ChatGPT and Codex accounts using passkeys or physical security keys, and will also receive alerts about new logins to their accounts. OpenAI also automatically excludes users with the setting enabled from AI model training.

Elizabeth Lopatto
Elizabeth Lopatto
Second break of the day.

OpenAI and Musk’s counsel need to discuss something... Back in 15.

Elizabeth Lopatto
Elizabeth Lopatto
Birchall cross.

He was used, I think, to get financial documents into the record. We are now on the cross, and he is giving mercifully brief and direct answers.

Elizabeth Lopatto
Elizabeth Lopatto
Birchall has just been asked about the four Teslas.

There is a confirmation document from Chris Clark to Elon Musk showing the donation values. The donation was to OpenAI, as agreed in the stipulated facts, and in conflict to what Musk testified today.

Adi Robertson
Adi Robertson
Birchall testifies about Musk’s contributions to OpenAI.

We’re looking at a summary of about 60 donations to OpenAI, which Birchall says were directed by Musk, with Birchall helping execute all of them.

Elizabeth Lopatto
Elizabeth Lopatto
A woman in the gallery has lowered a sleep mask over her eyes and is attempting to sleep.

I guess she isn’t into Birchall’s testimony about Musk’s charitable contributions?