Trump Replies to Musk’s Assertion on Lack of Funding for $500 Billion AI Project

Elon Musk, who has developed a close relationship with President Donald Trump, has stirred controversy by challenging the financial viability of Trump’s proposed $500 billion AI initiative. Musk claims that the Republican-backed project lacks the necessary funds.
The 78-year-old Trump has now addressed Musk’s assertion regarding Stargate, described as ‘the largest AI infrastructure project in history.’ This venture is reportedly supported by seven significant companies and entails a supposed investment of half a trillion dollars. 

Before delving further, let’s briefly outline what the Stargate project involves.

Stargate aims to construct data centers across the U.S. to support AI capabilities. The initial phase is taking place in Texas, with additional locations being considered nationwide as ‘definitive agreements’ are completed.

This infrastructure is anticipated to ‘maintain American leadership in AI,’ create ‘vast numbers of American jobs,’ and ‘offer significant economic advantages globally,’ as stated by OpenAI, the organization behind ChatGPT, on its website.

“This initiative will not only aid in the re-industrialization of the United States but will also provide a strategic capability to ensure the national security of America and its allies,” the statement added.

The main figures steering this project include Oracle CTO Larry Ellison, OpenAI CEO Sam Altman, and SoftBank CEO Masayoshi Son.

It has been disclosed that $100 billion in funding will be made available immediately, with the total investment reaching $500 billion by 2029.

The U.S. is already a leader in artificial intelligence, and Donald Trump appears determined to maintain that status.

“I’m going to assist significantly through emergency declarations because we face an emergency,” Trump stated.

So, what did Musk express on Twitter?

The tech mogul has been critical of the project due to a longstanding dispute with OpenAI’s Altman. He took to Twitter to state: “They don’t actually have the money.”

Referring to Stargate, Musk later added: “SoftBank has well under $10B secured. I have that on good authority.”

While signing a series of executive orders in the Oval Office, Trump was queried about Musk’s criticisms.

When asked whether Musk’s comments troubled him, Trump responded: “No, he dislikes one of the individuals involved in the project.”

He continued: “The individuals in the project are very intelligent. But Elon – he has a particular dislike for one of them. But I have my own dislikes for certain people too.”

Seven major corporations are participating in the project currently, including three of the most prominent technology firms globally.

Japan’s SoftBank and the United Arab Emirates AI investment arm MGX are among Stargate’s initial equity investors, alongside OpenAI and tech giant Oracle.

In addition, semiconductor firm Arm joins Microsoft, NVIDIA, Oracle, and OpenAI as Stargate’s main technology partners.

Oracle, NVIDIA, and OpenAI will work collaboratively to develop and manage the project’s computing infrastructure, while Microsoft will assist in ‘training leading models and providing exceptional products and services’.

Leave a Reply

Your email address will not be published. Required fields are marked *