Several former OpenAI employees have sided with Elon Musk on the topic of keeping the AI company non-profit as they meant it to be when it was created. 

These employees have now filed a legal brief backing Musk’s lawsuit, marking the latest development in the dispute over the future of the artificial intelligence firm.

Musk wants to keep OpenAI’s nonprofit status

Musk and Altman co-founded OpenAI in 2015, but they parted ways before the company achieved worldwide fame. Musk reportedly left due to some issues with the direction of things.

Last year, Musk sued OpenAI and its CEO, Sam Altman, accusing the AI firm of not staying true to its founding mission, which is to develop AI for the good of humanity rather than corporate profit.

His opposition to the change in structure led to the current suit, which is scheduled to begin in spring next year. The federal court filing on Friday by the former employees claims that stripping the nonprofit of its controlling role would “fundamentally violate” its mission, as it would lose oversight of the for-profit AI development entity.

Elon Musk and others who share the same ideology have expressed concern about how corporate leaders want to give investors control, which presents a dilemma as investors tend to prioritize their business interests over humanitarian goals.

Altman literally testified to Congress that he wouldn’t get OpenAI compensation and now he wants $10 billion! What a liar. https://t.co/YpHvcm0WZa

— Elon Musk (@elonmusk) January 23, 2025

Further investment is contingent on changing to a for-profit status

While OpenAI and Altman have denied the allegations made by Musk, the AI firm continues to press forward with its organizational restructuring.

The former OpenAI employees who recently filed a lawsuit backing Musk said they held technical and leadership roles while with the company. During that time, they learned how important the nonprofit’s oversight was.

They also said that while they worked at the firm, executives repeatedly emphasized the structure’s importance in OpenAI’s ability to execute its mission. And that’s not all. The structure has also been helpful with recruitment, attracting many employees who were inspired by the nonprofit’s mission.

The ChatGPT maker argues that it needs to remove the nonprofit’s administrative role so that it can secure more funds from investors who refuse to spend unless they are certain their needs will be prioritized.

The company says despite the change, the nonprofit will still allegedly retain a stake in OpenAI that will become increasingly valuable as the company grows, providing the nonprofit with the resources it needs to progress its mission.

OpenAI has promised the transition will not affect its mission: “Our Board has been very clear: our nonprofit isn’t going anywhere and our mission will remain the same.”

Musk has repeatedly trolled Altman on X and used his influential platform to draw attention to what he is attempting to do with OpenAI, sometimes even offering to take it off his hands.

Of course, Altman has immediately knocked back such attempts, in what Altman alleges is Musk’s ploy to slow down the competition. Musk created his own AI firm, xAI, in 2023.

While Musk and the former employees continue to fight Altman’s plans, OpenAI continues to face pressure from investors who want it to change its structure and there is now an ultimatum. If the ChatGPT maker wants to secure a $40 billion fundraising round, the company must complete its transition by the end of the year.

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