Elon Musk Questions Funding of Trump-Backed $500 Billion AI Project
In a surprising turn of events, Elon Musk has cast doubt on the ambitious $500 billion artificial intelligence initiative announced by U.S. President Donald Trump. The project, named Stargate, is to be led by Japanese conglomerate SoftBank and OpenAI, the company Musk co-founded.
During a press briefing on January 22, 2025, Trump unveiled plans for Stargate, which is set to invest in AI infrastructure across the United States. However, Musk quickly took to social media platform X to express skepticism about the financial backing for the project, stating, "They don’t actually have the money." He further alleged that SoftBank has significantly fewer available funds than required for such a large investment.
In response to Musk's remarks, OpenAI CEO Sam Altman defended the project, asserting its benefits for the nation and inviting Musk to visit the already underway initial construction site in Texas. The Stargate project is reportedly beginning with an initial investment of $100 billion, with aspirations to reach $500 billion over the next four years, drawing support from a variety of partners including Abu Dhabi’s AI-focused state fund and Oracle.
As the tension between Musk and Altman continues, both the future of this major investment and the collaboration within the technology sector remain closely watched by industry experts.
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