Media & Culture

The craziest part of Musk v. Altman happened while the jury was out of the room

During a closed session, Musk's finance guy drops bombshell about Altman's dual role.

Deep Dive

The most dramatic moment of the Musk v. Altman trial occurred after the jury left the room. Jared Birchall, Elon Musk's finance chief, was asked about xAI's $97.4 billion bid for OpenAI's nonprofit assets. He claimed that Sam Altman 'was on both sides of the table,' negotiating for both the for-profit and nonprofit entities to discount the nonprofit's value. The defense immediately objected, and the testimony was struck as lacking foundation. However, Judge Yvonne Gonzalez Rogers intervened, questioning Birchall herself. She revealed that Musk's lawyers may have failed to properly disclose this topic during discovery, leading to an impromptu deposition.

This procedural misstep could have serious consequences. Birchall admitted he couldn't untangle how much of his knowledge came from lawyers versus independent sources, hinting that Musk's team might have coached him. The judge told plaintiff's counsel to 'quit coaching the witness.' The underlying claim — that Altman was conflicted — mirrors Musk's broader argument that OpenAI's restructuring unfairly enriches Altman. If Birchall's testimony was unauthorized, it could damage Musk's credibility and lead to sanctions. The trial continues with the jury absent, and observers are watching for further fallout.

Key Points
  • Jared Birchall testified that Sam Altman negotiated on both sides of OpenAI's restructuring, potentially undervaluing the nonprofit.
  • The testimony was struck for lack of foundation, but Judge Rogers questioned Birchall, uncovering possible discovery violations.
  • Musk's lawyers may face sanctions for failing to disclose the xAI bid and related communications during pretrial discovery.

Why It Matters

This courtroom blunder could derail Musk's case and expose legal misconduct, impacting OpenAI's future structure.