Elon Musk has raised concerns about the $500 billion Stargate project, a new AI infrastructure initiative backed by President Donald Trump, SoftBank, OpenAI, and Oracle.
This project, announced after the new administration took office, aims to expand artificial intelligence (AI) infrastructure across the US within the next four years, with $100 billion promised for immediate deployment.
Supporters claim it will bring economic benefits, but Musk has expressed doubts about the actual funding.
Did you know?
Subscribe – We publish new crypto explainer videos every week!
What is Impermanent Loss in Crypto? (Explained With Animations)
Musk, who once co-founded OpenAI before leaving in 2018, has since become one of the company’s most vocal critics, even filing lawsuits to oppose its current direction.
In a January 22 post on X, Musk claimed:
They don’t actually have the money.
He later sent another post, pointing out that SoftBank has secured far less than the reported $10 billion required to start the initiative. He said, “SoftBank has well under $10B secured. I have that on good authority”.
Sam Altman, OpenAI’s CEO, disagreed with Musk’s statements and invited him to visit a Texas site where initial work is already underway. He stated:
Wrong, as you surely know. Want to come visit the first site already under way?
Altman added, “This is great for the country”. He emphasized the national importance of the initiative, suggesting it may not align with Musk’s personal business interests but is vital for the country’s growth.
Meanwhile, the Department of Government Efficiency (DOGE), led by Musk, recently faced a lawsuit from National Security Counselors, a public-interest law firm. What happened? Read the full story.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.
With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.
Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.
Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.
