Microsoft chief executive Satya Nadella told a San Francisco jury that the OpenAI board’s 2023 move to dismiss CEO Sam Altman was “amateur city.” He said the board never gave him a clear reason for the firing, echoing the board’s own claim that Altman was “not consistently candid.” Nadella’s remarks came as Elon Musk’s lawsuit challenges the lab’s shift to a for‑profit model.

During testimony Nadella referenced Microsoft’s escalating stake in OpenAI, noting a $10bn injection in 2023 that followed earlier $1bn and $2bn commitments. The partnership now gives Microsoft roughly 27 per cent of a company valued just over $200bn. He warned internal emails that without greater control the firm risked becoming a thin layer atop Nvidia’s technology.

Both Nadella and OpenAI co‑founder Ilya Sutskever described the 2023 board scramble as rushed and poorly advised, citing concerns that a merger with Anthropic would “kill a dream.” Their testimony underscores how Microsoft’s deep‑pocketed bets have turned OpenAI into a strategic asset, cementing the software giant’s foothold in generative AI.

Should Musk’s case succeed, regulators could force OpenAI to unwind its for‑profit conversion, jeopardising a planned IPO slated for later this year. Investors would likely see a sharp revaluation, while Microsoft would need to reassess its $10bn exposure. The trial therefore shapes the valuation ceiling for the $200bn AI venture.