Elon Musk-Altman Clash Over Trump-Endorsed Stargate AI Project

Washington/Panjab Post
Elon Musk and Sam Altman are at odds again, this time over the Stargate artificial intelligence initiative—a massive infrastructure project endorsed by President Donald Trump. The $500 billion joint venture, involving OpenAI, Oracle, and SoftBank, aims to revolutionize AI technology with cutting-edge data centers and renewable energy sources. Trump praised it as a milestone for American innovation, kickstarting the effort with an initial $100 billion private investment. However, Musk, a key Trump adviser and supporter, publicly criticized the project’s financial feasibility, claiming SoftBank’s contribution falls far short of expectations. “They don’t actually have the money,” Musk posted on X. In response, Altman countered that Musk’s claims were inaccurate, inviting him to visit Stargate’s first data center under construction in Texas. “This is great for the country,” Altman said, urging Musk to prioritize national interests over his own companies.
The disagreement marks another chapter in Musk and Altman’s longstanding rivalry, which began during their time at OpenAI’s helm. Musk, an OpenAI co-founder, left the organization after disputes over its direction and later sued the company, alleging it deviated from its nonprofit mission. Meanwhile, Musk has founded his own AI venture, xAI, and claims OpenAI enjoys unfair advantages due to its partnership with Microsoft.Stargate’s roots trace back to a lesser-known project in Abilene, Texas, spearheaded by energy companies Crusoe and Lancium. The site, powered by renewable energy, was initially intended as a standalone AI data center but evolved into the first phase of the Stargate initiative. The city of Abilene, with its vast energy resources, has embraced the project’s economic potential, though Trump recently voiced opposition to wind energy projects on federal lands.
While Oracle co-founder Larry Ellison revealed plans for up to 20 similar data centers, Microsoft, a major OpenAI backer, remains a key yet quiet participant. CEO Satya Nadella emphasized Microsoft’s $80 billion global AI investment during a recent interview, brushing off Musk’s criticism with humor. As the feud between Musk and Altman intensifies, the Stargate project serves as both a flashpoint for their rivalry and a bold symbol of America’s AI ambitions under Trump’s administration.