Microsoft CEO Satya Nadella testified in April 2026 [3] regarding the firing of Sam Altman and the company's partnership with OpenAI.
The testimony is a central part of a lawsuit filed by Elon Musk, who alleges that OpenAI improperly transitioned into a for-profit entity. Because Microsoft is a primary partner and investor in OpenAI, Nadella's account provides critical insight into the governance and stability of the AI developer.
Speaking at a federal courthouse in Oakland, California, Nadella addressed the events surrounding November 2023 [1], when the OpenAI board fired Altman. Nadella said he was never given clarity on why Altman was fired [2]. This statement contrasts with other testimony in the case; former OpenAI executive Mira Murati said Altman was dishonest and caused chaos [2].
Musk is seeking $150 billion [4] in damages as part of the legal action. The trial, which has been described as a "megatrial," focuses on whether OpenAI violated its original nonprofit mission. The proceedings have highlighted the tension between the rapid commercialization of artificial intelligence and the initial goals of the organization.
Nadella's testimony aimed to clarify the specific nature of the relationship between Microsoft and OpenAI. While Microsoft provides significant infrastructure and funding, the legal battle seeks to determine how much control the company exerts over OpenAI's strategic direction. The court is currently weighing these corporate ties against the claims of a "bait and switch" regarding the company's profit status [3].
“Nadella said he was never given clarity on why Altman was fired.”
This testimony underscores the opacity of OpenAI's internal governance during its most volatile period. By stating he was not given a clear reason for Altman's removal, Nadella suggests that even a primary partner like Microsoft was kept in the dark, which may support or complicate Musk's arguments regarding the company's erratic shift from a nonprofit to a commercial powerhouse.
