Elon Musk has clashed with OpenAI CEO Sam Altman over the Stargate artificial intelligence infrastructure project touted by President Donald Trump. in a feud Between two tech billionaires who started on OpenAI’s board and are currently testing Effect of mask With the new president.
President Trump on Tuesday was discussing a joint venture that could invest up to $500 billion through a new partnership created by OpenAI, the maker of ChatGPT, with Oracle and SoftBank.
Stargate, a new organization, has already begun construction of its data center. need to generate electricity for the further development of Rapidly evolving AI technology.
President Trump declared it a “resounding declaration of confidence in America’s potential” under the new administration, with initial private investment of $100 billion, which could reach five times that amount.
But Musk, a Trump ally who helped fund his campaign and is now leading the government’s cost-cutting program, questioned the value of the investment hours later.
“They don’t actually have the funds,” Musk wrote on his social media platform X. “SoftBank has secured far less than $10 billion in funding. I have it on good authority.”
Altman responded Wednesday that Musk was “just as wrong as you know” and invited him to visit the first site in Texas, which is already under construction.
“This is great for the country. I understand that what’s great for the country isn’t necessarily what’s best for your company, but I want you to put (America) first and foremost in your new role,” Altman said. he wrote. Use the Stars and Stripes emoji to represent America.
Steve Bannon calls out Musk for questioning Trump-backed AI project
behind the feud
The public clash over Stargate is part of a long-running dispute between Musk and Altman, which began with a boardroom dispute over who should run OpenAI, and which led to a dispute between the two men about the company’s founding. Contributed.
Musk, an early investor and director of OpenAI, has sued the artificial intelligence company. last year They argued that it had betrayed its founding purpose as a nonprofit research institute that benefits the public interest rather than pursues profits.
Since then, Musk has escalated the dispute, adding new claims and seeking court orders to halt it. OpenAI plans To transform it more fully into a commercial business. A trial is scheduled for February in California federal court.
Last year, the world’s richest man, whose portfolio includes companies such as Tesla, SpaceX and X, founded his own rival AI company, xAI, and is building its own massive data center in Memphis, Tennessee. Musk said he faces unfair competition from OpenAI and its close business partner Microsoft, which has provided the vast computing resources needed to build AI systems such as ChatGPT.
When did Stargate begin?
Technology news outlet The Information first reported on the OpenAI data center project, called Stargate, in March 2024, indicating the project was in the works long before President Trump announced it.
Another company, Crusoe Energy Systems, announced in July that it was building a large-scale “customized AI data center” in the northwest corner of Abilene, Texas, on a property operated by energy technology company Lancium. . Crusoe and Rancium said in a joint statement at the time that the project was “supported by billions of dollars of investment,” without disclosing the backers.
Building and operating AI technology requires large amounts of electricity, and the companies have announced that the project will be powered by renewable energy such as nearby solar farms, Lancium CEO Michael McNamara said. “It provides the maximum amount of green energy with the minimum amount of energy,” he said. Possible costs. ” Crusoe said he would own and develop the facility.
It’s unclear when or how this project became the first phase of President Trump’s announced Stargate investment. Abilene Mayor Weldon Hart said construction began about nine months ago, but “we didn’t know it was going to be this big.” I thought it would be about 1/3 of this size. ”
Oracle co-founder Larry Ellison said Tuesday that the Abilene project is the first of about 10 data center buildings currently under construction, and that number could grow to 20. .
Hart told The Associated Press that the area around Abilene, a city of about 130,000 people, benefits from abundant energy sources, including oil, gas, solar power and some of the “largest wind farms in the world.” However, President Trump has indicated that he is against it. This week’s wind power generation Paused Approval of wind energy projects on federal lands.
“It really means a lot to a town like Abilene because we have the ability to produce energy for this market,” Hart said. “We’re just excited to have this opportunity here in Midwest Texas and to be able to do something like this to enhance Abilene.”
Where is Microsoft?
Although Microsoft was not present at President Trump’s press conference on Tuesday, the company has backed OpenAI with billions of dollars in investments over the years and has used its data centers to develop the models behind ChatGPT and other generative AI tools. It has been made available for use in construction.
Microsoft announced this week that it is also investing in the Stargate project, but that the partnership with OpenAI will “evolve” to allow OpenAI to “build additional capabilities primarily for model research and training.” issued a statement.
Asked about Musk’s comments about the Stargate deal in an interview with CNBC at the World Economic Forum in Davos, Switzerland, on Wednesday, Microsoft CEO Satya Nadella said his company has 800 plans to build its global AI infrastructure. He said he is focusing on a $1 billion plan, of which $50 billion has been spent. in the usa
“Look, all I know is that $80 billion is OK,” Nadella said with a laugh.
