Judge Dismisses Musk's Fraud Claims; Trial Continues on Other Counts

A U.S. judge has dismissed Elon Musk's fraud claims in his lawsuit accusing OpenAI and co-founder Sam Altman of failing the AI company's original mission. However, the trial will proceed on other counts, including breach of charitable trust and unjust enrichment.

U.S. District Judge Yvonne Gonzalez Rogers made the ruling in Oakland, California, with jury selection set for Monday and opening arguments expected on Tuesday.

Musk argues that by forming a for-profit entity, OpenAI, Altman, and Microsoft misled both him and the public. Despite the fraud charges being dropped, the broader suit will press forward on Musk's claims aimed at ensuring OpenAI benefits humanity and isn't just a 'wealth machine.' Musk is seeking $150 billion in damages to be directed to OpenAI's charitable arm.

(With inputs from agencies.)