US President Donald Trump & Starlink CEO Elon Musk Clash Over USD 500 Billion Stargate AI Project

US President Donald Trump & Starlink CEO Elon Musk Clash Over USD 500 Billion Stargate AI Project

Elon Musk criticised the project on social media. Musk claimed that the announced funding was exaggerated, stating that SoftBank, a major investor in the initiative, had "well under $10 billion" in secured funds.

Azhar KhanUpdated: Sunday, January 26, 2025, 06:26 PM IST
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US President Donald Trump & Starlink CEO Elon Musk |

Mumbai, January 26: In a major development, a significant rift has emerged between Starlink CEO Elon Musk and U.S. President Donald Trump following the announcement of a $500 billion Artificial Intelligence (AI) initiative called the "Stargate Project". This ambitious plan, unveiled at the White House, aims to establish AI data centers across the United States and strengthen America’s position in the global tech race. The project, led by OpenAI, Oracle and SoftBank, is expected to create over 1,00,000 jobs and counter China’s growing dominance in AI.

Elon Musk Criticises Stargate Project

Elon Musk, who was absent from the event, quickly criticised the project on social media. Musk claimed that the announced funding was exaggerated, stating that SoftBank, a major investor in the initiative, had "well under $10 billion" in secured funds. Using his platform on X (formerly Twitter), Musk labelled the project as unreliable and attacked OpenAI CEO Sam Altman, with whom Musk has a history of disagreements. Musk co-founded OpenAI in 2015 but left in 2018 after disputes over the organisation’s direction.

Musk’s criticism escalated when he accused Altman of dishonesty, sharing a screenshot of a news article suggesting Altman received equity from OpenAI, contrary to earlier claims of no compensation. Musk even shared provocative posts to further his attacks, including cryptic references implying questionable practices by Altman.

Donald Trump Dismisses Elon Musk’s Complaints

When asked about Musk’s accusations, Trump appeared unbothered. He stated, "They’re putting up the money. The government’s not involved. These are very rich people, so I hope they follow through." Trump suggested that Musk’s frustration stemmed from personal grievances rather than genuine concerns about the project’s funding.

Musk vs Altman: A Growing Rivalry

Musk and Altman’s rivalry has become increasingly public. Musk has accused Altman of aligning with leftist agendas and supporting anti-Trump media. He reshared posts on X that linked Altman to funding liberal media outlets critical of Trump. While Musk did not directly target Trump, his criticism of the Stargate Project and its backers highlights a potential rift in their previously strong association.

Implications for AI and Politics

The fallout between Musk and Trump signals cracks in the alliance between prominent figures in tech and politics. Musk’s stance over the Stargate Project raises questions about the feasibility of such large-scale initiatives and the role of private investments. Meanwhile, the clash between Musk and Altman underscores the growing tensions within the tech industry, especially as AI becomes a focal point of global competition.

As the Stargate Project moves forward, the rift between Musk, Altman and Trump could influence public perception and the future of AI development in the U.S.

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