Vol. I · No. 99MON, JUL 27, 2026
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Week one of the Musk v. Altman trial: What it was like in the room

This story originally appeared in The Algorithm, our weekly newsletter on AI. To get stories like this in your inbox first, sign up here. Two of the most powerful people in AI—Sam Altman and Elon Musk—began their face-off in court in Oakland, California, last week. Musk is suing OpenAI, alleging that the millions he spent to…

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Why SSMs struggle in parameter-constrained training: empirical findings at 25M parameters [R]

After \~3 weeks of experimentation in OpenAI's Parameter Golf competition, I wrote up why SSMs are structurally disadvantaged relative to transformers in a time- and size-constrained regime (10 min training, 16MB artifact, 25M parameters) on 8xH100s: [https://mradassaad.github.io/posts/why-ssms-struggle-in-parameter-golf/](https://mradassaad.github.io/posts/why-ssms-struggle-in-parameter-golf/) Main findings: 1. SSM in\_proj weights compress up to 3.26x worse than attention QKV under LZMA, directly taxing the compressed parameter budget 2. Architectural wins validated at SP4096 flipped sign...

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Courtroom sketch of Sam Altman

Musk testifies in OpenAI lawsuit, alleges company abandoned non-profit mission; courtroom sketch circulates on social media.

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Pentagon strikes classified AI deals with OpenAI, Google, and Nvidia — but not Anthropic

The Pentagon has struck deals with OpenAI, Google, Microsoft, Amazon, Nvidia, Elon Musk's xAI, and the startup Reflection, allowing the agency to use their AI tools in classified settings, according to an announcement on Friday. At the same time, the Defense Department has left out Anthropic - which it previously used for classified information - after declaring it a supply-chain risk. This builds upon deals with OpenAI and xAI, which have already reached agreements with the Pentagon for the "lawful" use of their AI systems. A report from The Information suggests Google has struck a similar a...

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Musk v. Altman is just getting started

Elon Musk spent the better part of three days on the witness stand this week in his lawsuit against OpenAI, and it’s already getting messy. Emails, texts, and his own tweets are surfacing in court, and there are plenty more witnesses to come. Musk’s argument against OpenAI? By converting the company to a for-profit model, Sam Altman betrayed the “nonprofit for the […]

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Elon Musk had a bad week in court

Elon Musk is the one who wanted this trial. He has spent months claiming OpenAI "stole a nonprofit," and saying he was the actual driving force behind one of the most important companies currently in tech. All indications are that he won't win his case against the company, but he's fighting it anyway. So you'd think he'd have done better when it was his time to take the stand. Verge subscribers, don't forget you get exclusive access to ad-free Vergecast wherever you get your podcasts. Head here. Not a subscriber? You can sign up here. Instead, Musk spent much of the week arguing with lawyers ...

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Elon Musk confirms xAI used OpenAI’s models to train Grok

In a federal courtroom in California on Thursday, Elon Musk testified that his own AI startup, xAI, has used OpenAI's models to improve its own. The matter at question is model distillation, a common industry practice by which one larger AI model acts as a "teacher" of sorts to pass on knowledge to a smaller AI model, the "student." Although it's often used legitimately within companies using one of their own AI models to train another, it's also a practice that's sometimes used by smaller AI labs to try to get their models to mimic the performance of a larger competitor's model. Asked on the...

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Here’s how the new Microsoft and OpenAI deal breaks down

Microsoft's relationship with OpenAI has always been complicated, so I expected the close partnership-turned-situationship to end in tears. After all, executive disagreements, rearranged contracts, and frustrations over AI infrastructure have all regularly been part of the partnership, creating plenty of tension along the way. But against all odds, Microsoft and OpenAI divorced this week in a way that looks strangely amicable. Microsoft announced the updates to its long-standing OpenAI deal on Monday, with the most important change allowing OpenAI to make its products and services available a...

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