OpenAI has a counterpunch, and it is aimed at the state.
On April 6, Jason Kwon, OpenAI's chief strategy officer, sent a letter to California Attorney General Rob Bonta and Delaware Attorney General Kathy Jennings asking them to investigate what he called "improper and anti-competitive behavior" by Elon Musk and his associates. The letter, reported by CNBC and reviewed by the Sacramento Bee, arrives less than a month before Musk is scheduled to face OpenAI in a jury trial — making it a legal filing dressed as a regulatory complaint.
Musk is suing OpenAI, CEO Sam Altman, and Microsoft for $134 billion in damages, alleging the company betrayed its founding nonprofit mission by taking billions from Microsoft and planning to convert to a for-profit structure. OpenAI rejected his unsolicited bid to acquire the nonprofit's assets for $97.4 billion last year. Jury selection begins April 27 in the Northern District of California.
Kwon frames the lawsuit as something other than a principled legal fight. "Mr. Musk's lawsuit is not just against OpenAI; it is about whether there is room in the industry for a company subject to the mission and structure outlined in the October agreements, or whether that ground must be ceded to Mr. Musk and his co-conspirators," he wrote.
The letter cites a recent New Yorker investigation describing how intermediaries connected to Musk compiled detailed opposition research on Altman, including shell companies associated with him, personal contact information of close associates, and documented appearances at bars where a sex worker was reportedly present. The research tracked Altman's flights and party attendance. OpenAI's letter calls these "attacks designed to take control of the future of AGI out of the hands of those who are legally obligated to pursue the mission of ensuring that AGI benefits all of humanity, and put it into the hands of competitors who lack mission-driven principles and spurn any responsibility for safety."
The letter also references Meta CEO Mark Zuckerberg. According to a court filing from August, Musk tried to enlist Zuckerberg in his consortium bid for OpenAI; Zuckerberg did not join. In a separate report from Engadget, Zuckerberg messaged Musk last year offering help with DOGE, and Musk responded by asking whether Zuckerberg would "be open to the idea of bidding on the OpenAI IP with me and some others." Zuckerberg suggested moving the conversation to a phone call.
Chris Lehane, OpenAI's chief global affairs officer, told CNBC that Musk and Zuckerberg are "turning to conduct and approaches that we do think are really highly questionable and sharply worthy of investigation." He asked why "two of the top four wealthiest people, most powerful people in the world" are trying to stop a nonprofit from moving forward.
The irony is structural. Bonta's office opened an investigation into xAI, Musk's AI startup, and its Grok chatbot in January, focused on sexually explicit deepfakes generated by the model. OpenAI is now asking that same office to investigate Musk separately. xAI merged into SpaceX in February, and SpaceX is the entity now filing confidentially for a June 2026 public offering. OpenAI's letter explicitly links the two trajectories: if Musk's legal efforts succeed, it would benefit xAI's commercial position ahead of that public offering.
For OpenAI, the letter is also an argument about jurisdiction. Kwon argues that Musk's filings "suggest that your offices did not thoroughly investigate OpenAI's plan to recapitalize and merely relied on promises about what OpenAI will do in the future" — attempting to reframe the state attorneys general as parties with a stake in the litigation's outcome, rather than neutral arbiters.
Musk and his representatives did not respond to requests for comment. A spokesperson for Bonta said his office is reviewing the letter. A representative for Jennings and a lawyer for Musk did not immediately respond.
A judge in Oakland ruled in January that the case will go to a jury. The trial is set to begin in April.