Elon Musk and Sam Altman engage in a public disagreement, while Donald Trump champions a new AI venture.

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In a significant development for the artificial intelligence sector, President Donald Trump, in collaboration with executives from OpenAI, SoftBank, Oracle, and the Emirati AI investor MGX, announced the launch of an initiative named Stargate. This ambitious project entails a substantial investment of $500 billion aimed at establishing AI data centers throughout the United States, with an initial commitment of $100 billion from the participating companies. The announcement of Stargate enhances Trump’s reputation as a proponent of infrastructure advancement, a legacy he found challenging to cultivate during his initial term. This initiative follows an executive order from outgoing President Joe Biden, which sought to designate federal lands for the establishment of new AI data centers, prioritizing geothermal zones for faster permitting processes. Although Trump has rescinded Biden’s order concerning AI safety, he has not yet overturned Biden’s infrastructure strategy. If the initiative proves successful, it could solidify the United States’ leadership in the AI domain, with Trump asserting that it has the potential to generate 100,000 new jobs, primarily associated with the construction of these facilities. The announcement, made on January 22, featured Altman commending Trump’s involvement at the White House event, describing the initiative as “the most important project of this era.”

This announcement has thrust Sam Altman into the limelight, much to the chagrin of his former associate, Elon Musk. Musk, a long-time supporter of Trump, had a close partnership with Altman when they co-founded OpenAI in 2015; however, their relationship has deteriorated into a notable rivalry. Given Musk’s close ties to Trump—having financially supported the president’s campaign and currently leading the Department of Government Efficiency—there are apprehensions that Musk may utilize his political clout to promote his own venture, xAI, at the expense of OpenAI. As the primary beneficiary of the initiative, Altman expressed his gratitude during the event, emphasizing the importance of presidential support by stating, “We wouldn’t be able to do this without you, Mr. President.” In contrast, Musk swiftly voiced his skepticism regarding the project, questioning its financial viability and asserting through a tweet that SoftBank had secured significantly less than the anticipated $10 billion.In response to Musk’s criticisms, Altman did not hesitate to defend the project, tweeting on January 23 to refute Musk’s claims: “Wrong, as you surely know,” he asserted. He extended an invitation to Musk, suggesting a visit to the first site currently in development, and highlighted the project’s potential benefits for the nation. Altman acknowledged that what benefits the country may not always align with the interests of Musk’s companies, yet he expressed hope that Musk would prioritize the nation’s welfare in his new capacity.