Musk: 'They don't actually have the money' for Trump-touted Stargate project
Tech billionaire Elon Musk voiced doubts about President Trump's newly announced infrastructure plan for artificial intelligence, claiming the technology companies behind the effort do not yet have the $500 billion promised for the project.
Trump announced a joint project Tuesday called Stargate, which will invest up to $500 billion over the next four years to build the infrastructure to support artificial intelligence (AI) development. OpenAI, Oracle and SoftBank are the initial equity investors for the project.
Musk, responding to OpenAI's statement on the project on his social platform X, wrote, "They don't actually have the money."
"SoftBank has well under $10B secured. I have that on good authority," he added.
OpenAI CEO Sam Altman responded to Musk's comments on Wednesday with praise for the Tesla CEO.
"[I]genuinely respect your accomplishments and think you are the most inspiring entrepreneur of our time,"Altman wrote.
Musk's comment was a notable break from Trump's optimistic tone Tuesday. The tech billionaire is leading Trump's "Department of Government Efficiency" (DOGE), which is expected to focus on reducing government spending and regulations, and has already secured a White House email address.
Altman, SoftBank CEO Masayoshi Son and Larry Ellison, Oracle’s chief technology officer, joined Trump for the announcement at the White House.
Son joined Trump at his Mar-a-Lago estate in December for an announcement that his company planned to invest $100 billion in the U.S. over the next four years. At the time, Trump pressed the SoftBank leader to double his investment to $200 billion on the spot. Masayoshi laughed and said he would “try to make it happen.”
“Now I come back with $500,” Son said Tuesday at the White House.
The president called it the “greatest AI infrastructure project by far in history” and nodded to the foreign competition the U.S. faces regarding emerging technology.
The newer AI technology, like OpenAI’s ChatGPT chatbot, requires an exhaustive amount of power to build and maintain. The Department of Energy estimated last month the energy demand for U.S. data centers tripled over the past 10 years and is expected to double or triple by 2028.
Altman said he was "thrilled we get to do this in the United States of America" and added he thinks the companies would not be able to do it without Trump.
Trump called Altman the “leading expert” on AI and described the group of tech leaders as a “massive group of talent and money.”
Musk, who owns the AI firm xAI, has had a tumultuous relationship with Altman in recent years. He is currently suing Altman and OpenAI, alleging the AI company that Musk helped found in 2015 has abandoned its original mission.
The Hill reached out to the White House, OpenAI, SoftBank and Oracle for further comment.
Topics
-
Elon Musk undercuts Trump's Stargate AI investment announcement
Elon Musk claimed overnight Tuesday that tech giants OpenAI, Oracle and Softbank don’t have enough money to fulfill their high-profile pledge to invest $500 billion in U.S. artificial intelligence ...NBC News - 18m -
Musk undercuts Trump's Stargate AI investment announcement
Open AI CEO Sam Altman, Oracle co-founder Larry Ellison and Softbank CEO Masayoshi Son appeared alongside President Donald Trump to announce the Stargate plan.CNBC - 42m -
Microsoft and OpenAI spar with Elon Musk over $500bn Stargate project
Tesla boss in rare break with Donald Trump over AI initiative, saying ‘they don’t actually have the money’Financial Times - 1h -
OpenAI Stargate is a $500B bet: America’s AI Manhattan Project or costly dead end?
OpenAI, Oracle, Softbank and MGX are investing a record amount in new AI infrastructure even as China's DeepSeek outperforms on cost.VentureBeat - 2h -
Trump Announces Project Stargate, a Massive New Investment in AI
The venture involves OpenAI, Softbank, and Oracle, and starts with an investment of $100 billion.Inc. - 20h -
Musk Is Likely to Get a West Wing Office for His Cost-Cutting Project
The world’s richest man had been expected to be situated in the Eisenhower Executive Office Building, but a West Wing office would give him closer access to President Trump.The New York Times - 1d -
Trump announces 'Stargate' AI infrastructure project with 'colossal data centers'
President Trump is joined by Larry Ellison, Masayoshi Son and Sam Altman to announce a new American company that will invest $500 billion in AI infrastructure.NBC News - 20h -
Trump Wants to Buy Greenland, But How Much Would It Actually Cost?
President-elect Donald Trump wants to buy the territory from Denmark, which says it’s not for sale. DealBook asked experts how they’d approach the deal.The New York Times - Jan. 11 -
Is Elon a Musk-Have for Nigel Farage?
Reform’s former communications director is onBBC News - Jan. 5
More from The Hill
-
Trump ordered the US to withdraw from the WHO. What comes next?
President Trump issued an executive order late Monday night withdrawing the U.S. from the World Health Organization (WHO). This is the second time Trump has tried to pull the country out of the ...The Hill - 25m -
Live updates: Trump pushes ahead on border plans, anti-DEI efforts; Dems grill OMB nominee
Rubber is meeting the road in President Trump's first week back at the White House, as the administration warned federal workers in roles related to diversity, equity and inclusion (DEI) that they ...The Hill - 27m -
Hidden ‘bonus’ write-offs hide the true cost of tax breaks
The government is trading revenue now (when it is more valuable) for revenue later.The Hill - 34m -
Pentagon sending 1,500 troops to secure US-Mexican border
The Pentagon is sending some 1,500 troops to help secure the southern border as President Trump pushes to stem the tide of migrants entering the country and crack down on illegal immigration. ...The Hill - 42m -
DOJ to investigate local officials who won’t enforce Trump immigration policies: Report
The Department of Justice (DOJ) is directing federal prosecutors to investigate state or local officials who won’t enforce the Trump administration’s immigration policies, according to a memo ...The Hill - 42m
More in Politics
-
Trump ordered the US to withdraw from the WHO. What comes next?
President Trump issued an executive order late Monday night withdrawing the U.S. from the World Health Organization (WHO). This is the second time Trump has tried to pull the country out of the ...The Hill - 25m -
Live updates: Trump pushes ahead on border plans, anti-DEI efforts; Dems grill OMB nominee
Rubber is meeting the road in President Trump's first week back at the White House, as the administration warned federal workers in roles related to diversity, equity and inclusion (DEI) that they ...The Hill - 27m -
Hidden ‘bonus’ write-offs hide the true cost of tax breaks
The government is trading revenue now (when it is more valuable) for revenue later.The Hill - 34m -
Pentagon sending 1,500 troops to secure US-Mexican border
The Pentagon is sending some 1,500 troops to help secure the southern border as President Trump pushes to stem the tide of migrants entering the country and crack down on illegal immigration. ...The Hill - 42m -
DOJ to investigate local officials who won’t enforce Trump immigration policies: Report
The Department of Justice (DOJ) is directing federal prosecutors to investigate state or local officials who won’t enforce the Trump administration’s immigration policies, according to a memo ...The Hill - 42m