OpenAI CEO Sam Altman has defended the ambitious $500 billion AI project, Stargate, after Elon Musk questioned its funding. Musk claimed on Tuesday that the project, backed by companies like OpenAI, SoftBank, and Oracle, doesn’t have enough money to move forward. He alleged that SoftBank has raised less than $10 billion so far for the $100 billion needed to get started.
Altman quickly pushed back, calling Musk’s claims “wrong” and suggesting that Musk should put the country’s interests ahead of his own. “I realise what’s great for the country isn’t always optimal for your companies, but I hope in your new role, you’ll mostly put the US first,” Altman wrote in response.
What is Stargate? Stargate is a massive AI infrastructure project announced by Donald Trump earlier this week. The project aims to boost US tech leadership, create 100,000 jobs, and invest heavily in cutting-edge technology. The plan is to spend $100 billion upfront, with a goal of scaling up to $500 billion over four years. However, it’s still unclear where all the funding will come from.
The founding partners, including SoftBank, OpenAI, Oracle, and Abu Dhabi’s MGX fund, are contributing some of their own money. They also plan to bring in new investors and possibly use loans to hit the $100 billion target.
Musk co-founded OpenAI but left the organisation in 2018 after clashing with Altman over the company’s direction. Since then, Musk has been critical of OpenAI, accusing it and its partner Microsoft of prioritising profits over creating beneficial AI for everyone.
His recent criticism of Stargate adds more tension to their relationship. It could also complicate Musk’s new role as co-chair of the Department of Government Efficiency, especially since the project is a key part of Trump’s economic plans.