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Elon Musk’s Attempt to Halt OpenAI’s Transition Denied by Court

A federal judge has denied Elon Musk's request to block OpenAI’s transition to a for-profit company.
March 5, 2025
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Elon Musk's Attempt to Halt OpenAI’s Transition Denied by Court


A federal judge in Northern California has rejected Elon Musk’s request for an injunction to stop OpenAI’s planned transition to a for-profit entity, according to a Bloomberg report.

U.S. District Court Judge Yvonne Gonzalez Rogers ruled on Tuesday that Musk failed to provide sufficient evidence to support his motion. The judge indicated that the court is open to holding an expedited trial to examine whether OpenAI’s shift to a for-profit model is unlawful. She emphasized that “irreparable harm” could occur if public funds are used to support the transformation of a nonprofit into a profit-driven company.

This decision adds another chapter to Musk’s ongoing lawsuit against OpenAI and its CEO Sam Altman, accusing the organization of straying from its original mission to make AI advancements accessible to all.

In a related development, Musk recently made an unsolicited bid to buy OpenAI for $97.4 billion, though OpenAI’s board rejected the offer unanimously. Despite this, the bid could cause future complications for OpenAI as it pursues a more traditional corporate structure.



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