On Tuesday, President Trump revealed a multi-billion-dollar private sector initiative aimed at developing artificial intelligence infrastructure across the United States, although Elon Musk quickly expressed skepticism regarding the scale of this investment.
During a White House briefing, Mr. Trump announced a collaborative venture called Stargate involving OpenAI, Softbank, and Oracle.
Joining Mr. Trump for the announcement were SoftBank CEO Masayoshi Son, Sam Altman of OpenAI, and Oracle’s Larry Ellison.
Mr. Trump emphasized, “What we want to do is keep it in this country. China and others are competitors. We’re making it available here. I will assist significantly through emergency declarations, as we need to prioritize this infrastructure. They must generate a considerable amount of electricity, and we will facilitate that production at their facilities if they choose.”
Company executives are projected to invest $500 billion in Stargate over the upcoming four years, although immediate specifics about the partnership were not disclosed.
During the briefing, Ellison noted that 10 data centers for the initiative are already being built in Texas, with plans for additional centers in other states. Previous reports indicated that Stargate would kick off with a data center project in Texas before expanding elsewhere.
“AI presents tremendous potential for every American,” Ellison conveyed to the press.
Mr. Trump claimed that this initiative would generate “over 100,000 American jobs almost instantly.”
Altman stated, “This will likely be the most significant project of our time.”
The three leaders highlighted their belief in AI’s capacity to solve healthcare challenges.
Altman remarked, “I expect that as this technology advances, we will witness diseases being cured at unprecedented rates.”
While other investors are expected to join the endeavor, it remains unclear who they will be.
When OpenAI publicized the initiative on X, claiming, “We will begin deploying $100 billion immediately,” Musk retorted, “They don’t actually have the money.” He added, “SoftBank has well under $10B secured. I have that on good authority.”
In response, OpenAI CEO Sam Altman replied to Musk on X, asserting, “That’s incorrect, as you surely understand.”
With a jab at Musk, who is also creating a chatbot called Grok, Altman invited him to “visit the first site already under construction” and noted, “I recognize that what’s beneficial for the country isn’t always optimal for your business interests, but in your new role, I hope you’ll primarily prioritize [America].”
When asked if Musk had undermined the president regarding AI, Trump ally Steve Bannon stated on Wednesday, “No doubt about it. The president mentioned a $500 billion joint venture. Why is Elon Musk critiquing the president right after he speaks about it?”
During a pretrial hearing in New York related to his fraud indictment, Bannon later commented, “He should not contradict what the president has already stated. It’s unacceptable and unsatisfactory. You’ve seen how erratic he is.” Notably, Bannon previously labeled Musk a “truly evil person” and vowed to push him out of Trump’s close circle.
