00:00 Speaker A
speaking of Sam Altman, his court battle with Elon Musk starts today. Polymarket odds giving Musk 51% odds to win that case. Tell us what’s going on here.
00:08 Dan
Yeah, this is the years long legal battle between Elon Musk and, you know, Open I and Sam Altman. Uh, you know, Elon Musk is no fan of Sam Walton anymore. It all goes back to when Open I was founded. You know, Elon Musk is a co-founder, uh, along with uh, Sam Altman. Basically Musk says that he donated millions of dollars to open with the understanding that it would continue to operate as a nonprofit going forward. He says that uh, basically Open AI kind of duped them, uh, when they uh decided to be a for profit and so he’s suing for that. Open AI, however claims that Elon Musk is just kind of sour grapes now because he had left the company after he suggested that they merge the company with Tesla, uh and then he would become CEO. And so Open I balked at that, they said, no. Uh, and that was kind of the way everything kind of split. And so
01:21 Dan
Open AI saying, look, he’s just hurt because we said get lost. We don’t want this. And Elon Musk is saying these guys are just liars. Uh and so, you know, we have to do something about that and we’ll see what happens. This is a jury trial, but the jury’s uh verdict is only essentially a uh uh suggestion for the judge. The judge will then determine uh the, you know, actually determine the liability in the case. And then, if Open I is found liable, then it goes to a remedies phase that the judge will also oversee. We don’t really know what the outcome could be. Open AI have to pay money uh to Elon Musk. Uh they could maybe be forced to roll back that for profit move. I mean it’s it’s all kind of up in the air.
02:08 Speaker A
Kind of the backdrop here too, Dan. They want to take their companies public, so SpaceX and Open I. Do you look at this and say, well, this court case could anyway negatively impact though their companies and the plans ahead of of this, you know, very dramatic, potentially public debuts.
02:30 Dan
Yeah, I mean, look, if if the remedies phase goes so if if open eyes found liable, uh and the judge decides that in the remedies phase that they have to roll back that that for profit move that they they did in October. I mean, you imagine that would put a huge roadblock in the way of their plans for for IPO.
02:59 Speaker A
You got some big heavyweights invested at Open I. They’re watching this very closely. Uh what’s on the line for some of them?
03:07 Dan
I mean, look at Microsoft, right? They have that huge stake. I mean that’s that’s what’s supposed to be, you know, a big win for them when they when Open IPO. So that could be a major hit to them. Uh, you know, you have to uh assume that if they don’t IPO, you have to look at how much they’re going to be able to continue to spend when they’re, you know, building out these data center plans. They have different deals with, you know, a slew of companies, Oracle, Microsoft, uh, I believe Google. Um I’m not sure about Amazon with uh with regards to uh chips. They they they might. I mean, they’re looking for compute anywhere. And so then you have to think, okay, do they have to go back and rework these deals? You know, maybe they uh they have to think about how much they’re going to be spending going forward, they have to rain it in because, you know, the IPO might be delayed. So I think it’s it’s all of these things that could uh uh or or probably our top of mind uh for Sam Altman company. Uh we just have to wait and see now how the the judge, you know, makes their determination and and then if there is a remedies phase, what that looks like.
