Microsoft (MSFT) CEO Satya Nadella took the stand in US District Court in Oakland, Calif., on Monday as part of Elon Musk’s ongoing lawsuit against OpenAI (OPAI.PVT).
Nadella testified about his relationship with Musk, Microsoft’s work with OpenAI, and questions about how the companies’ tie-up has benefited Microsoft.
The CEO also responded to questions about OpenAI’s brief ouster of CEO Sam Altman in November 2023.
Microsoft has been one of OpenAI’s largest backers, investing billions of dollars in the company in exchange for using its technology across Microsoft’s products.
During his testimony, Nadella said that, despite asking for a reason for OpenAI’s firing of Altman, he was never given a full explanation for the move. The CEO also said he wasn’t made aware of the decision to terminate Altman in advance, but was instead pulled out of a meeting and informed of the move.
At the time, the OpenAI board said that they cut ties with Altman because he wasn’t consistently candid with members.
Nadella said the reasoning didn’t suffice and believed “[t]here may have been some jealousy … coming through.”
He further claimed that he was worried that OpenAI employees would leave the company en masse at the time.
Musk, who co-founded OpenAI with Altman and president Greg Brockman, is suing the company, as well as Altman, Brockman, and Microsoft, claiming Altman and Brockman have broken with the company’s original mission to create AI that benefits humanity.
Musk claims Altman and Brockman duped him after he donated millions of dollars to help get OpenAI off the ground as a nonprofit, only to turn around and restructure the company as a for-profit organization.
He has also accused Microsoft of aiding and abetting Altman and Brockman with fraud against him.
During his time on the stand, Nadella claimed Musk never reached out to him regarding issues with Microsoft’s deal with OpenAI despite the two sharing phone numbers.
Altman has yet to take the stand in the trial but could do so later this week.
Email Daniel Howley at dhowley@yahoofinance.com. Follow him on X at @DanielHowley.
Click here for the latest technology news that will impact the stock market
Read the latest financial and business news from Yahoo Finance
