President Donald Trump’s announcement on Tuesday of a $500 billion funding into synthetic intelligence infrastructure was rapidly upended by a controversial administration official value practically that quantity.
The corporate OpenAI confirmed on Trump adviser Elon Musk’s social media platform, X, that it was investing the cash over the following 4 years into the Stargate Venture, with $100 billion being deployed instantly.
“It’s large cash and high-quality individuals,” Trump mentioned through the announcement, calling it “a convincing declaration of confidence in America’s potential.” Standing beside him: Musk’s nemesis, OpenAI CEO Sam Altman.

Musk, value a reported $426 billion, clearly took discover. In successive posts on X, the top of the president’s new Division of Authorities Effectivity brazenly challenged Trump’s assertion, writing that OpenAI, the maker of the AI chatbot ChatGPT, doesn’t “even have the cash.”
“SoftBank has properly below $10B secured,” Musk added. “I’ve that on good authority.”
The feud between the tech titans is nothing new. Musk pulled out of OpenAI in 2018 and has since derided Altman as “Swindly Sam” whereas suing the group over its shift from nonprofit roots. Altman, in flip, has labeled Musk a “bully.”
Business insiders have lengthy speculated that Musk would possibly leverage his affect with Trump to sideline Altman from securing profitable authorities contracts.
“I don’t assume we should always over-read it, however definitely all of the experiences suggesting Musk might hold Altman away from Trump had been disproven yesterday in that press convention,” mentioned Morning Joe host Joe Scarborough. “After I noticed it, I used to be like, ‘Whoa – that’s information.’”
Apparently, Musk forgot that with Trump, loyalty runs wallet-deep.
Regardless of his technological prowess, Musk appears to be falling behind in AI innovation. OpenAI introduced in June a partnership with Apple for its AI instruments, whereas Apple has additionally teamed up with IBM’s AI, generally known as Watson.
On Wednesday, Altman challenged Musk to place America first.
“That is nice for the nation,” Altman mentioned of the brand new initiative. “I notice what’s nice for the nation isn’t at all times what’s optimum to your corporations, however in your new position, I hope you’ll largely put [America] first,” he added, utilizing an American flag emoji.
Extra troubling for Musk is likely to be how this impacts his relationship with Trump, who’s reportedly rising annoyed with the Tesla founder’s fixed presence.
“I believe it’s much less about Sam Altman and extra about Donald Trump saying, ‘I’m the daddy right here, there’s just one president,’” noticed MSNBC host Stephanie Ruhle. “Over the previous few weeks, as Elon Musk has been glued to Donald Trump at Mar-a-Lago and making ready for a possible workplace close to the White Home, this is likely to be Trump’s approach of placing Musk on discover. He’s saying to the world, ‘There aren’t any co-presidents. I’m the one one in cost – don’t get too comfy, Elon. Sam’s nonetheless within the image.’”