Elon Musk has intensified his legal battle against OpenAI Inc. and Microsoft, seeking between $79 billion and $134 billion in damages over claims that the artificial intelligence company strayed from its founding nonprofit purpose. The lawsuit, now cleared to proceed to a jury trial, could become one of the most consequential legal cases in the global AI industry.

The dispute is often misunderstood. Despite online speculation, this case is not about ads, subscriptions, or monetization features in AI products. Instead, it focuses on OpenAI’s transformation from a nonprofit research organization into a commercially driven entity and whether that shift amounted to deception.

When OpenAI was founded in 2015, it was publicly presented as a nonprofit organization committed to ensuring artificial intelligence benefits humanity as a whole. Elon Musk, a co-founder, says he supported and funded OpenAI based on that mission.

According to Musk, OpenAI later abandoned this principle by restructuring its operations, creating a for-profit arm, and forming a deep commercial partnership with Microsoft. He alleges that this evolution contradicted the original commitments made to him and other early supporters.

Musk argues that OpenAI’s success today is built largely on the foundation laid during its nonprofit years, years in which he provided funding, recruited talent, and helped establish the company’s credibility.

Microsoft is named as a co-defendant because of its significant financial investment and close operational ties with OpenAI. The tech giant has poured billions into OpenAI and integrated its technology across several products.

Court filings claim that both OpenAI and Microsoft gained enormously from the restructuring. Expert estimates cited in the case suggest OpenAI may have accrued $65.5 billion to $109.4 billion in benefits, while Microsoft allegedly gained $13.3 billion to $25.1 billion. Musk is asking the court to order the return of what he describes as these “wrongful gains.”

Public confusion around the lawsuit has grown due to broader conversations about AI monetization. However, Musk’s legal action does not challenge advertising models, paid features, or product design decisions. The case strictly addresses governance, mission drift, and alleged misrepresentation.

A U.S. federal judge has ruled that the lawsuit contains sufficient grounds to move forward, allowing it to be decided by a jury. The trial is expected to begin in late April in Oakland, California.

Both OpenAI and Microsoft have firmly denied the allegations. OpenAI maintains that its structure evolved transparently and argues that Musk was aware of the company’s direction before stepping away from its board in 2018. Microsoft has also rejected claims of misconduct.

Beyond the staggering financial figures, this case raises critical questions about ethics, accountability, and trust in artificial intelligence development. The outcome from the court ruling may influence how mission-driven tech organizations balance public good with commercial realities.