Tech titan Elon Musk on Wednesday cast doubt on a $500 billion AI project announced by US President Donald Trump, saying the money promised for the investment was not actually there.
The comments mark a rare example of a rift between the world’s richest man and Trump, with Musk playing a key role in the new administration after spending $270 million on the campaign trail.
On his first full day in the White House, Trump on Tuesday announced a major investment to build infrastructure for artificial intelligence, led by Japanese giant SoftBank and ChatGPT maker OpenAI.
Trump said the company, called Stargate, “will invest at least $500 billion in AI infrastructure in the United States.”
But in a post on his social media platform X, Musk said major investors “don’t actually have any money.”
“SoftBank has secured well under $10 billion. I have this on good authority,” Musk added in a later post.
– ‘Fake’ –
Elon’s move could be particularly targeted at OpenAI, the world’s leading AI startup that Musk helped found before leaving in 2018.
Tesla boss and OpenAI CEO Sam Altman, who was present at the White House on Tuesday, is mired in a serious feud with Musk opening repeated lawsuits against the company behind ChatGPT.
“False, as you probably know. Want to come and visit the first construction site already underway?” Altman responded to Musk on X.
“It’s great for the country. I realize what’s great for the country isn’t always what’s optimal for your businesses, but in your new role, I hope you put (the country) first “, he added.
OpenAI is one of the most valuable startups in the world, but loses money due to the high costs of producing its expensive technology.
Cloud giant Oracle, also involved, has about $11 billion in cash and securities, according to the Wall Street Journal. SoftBank has about $30 billion in liquidity.
“The American people should believe the words of President Trump and his CEOs. These investments are coming to our great country and American jobs are coming with them,” Trump spokeswoman Karoline Leavitt said on Fox News.
The Stargate Project has committed to investing an initial $100 billion in the project, and up to $500 billion over the next four years.
Abu Dhabi’s AI-focused Public Fund, MGX and Oracle are also funding the project, while SoftBank-owned Arm, Microsoft and Nvidia will be technology partners.
According to the companies, the plan initially involves building a data center in Texas, where construction is already underway.
