Key Takeaways:

• Elon Musk openly criticized the Stargate AI project, questioning the funding of OpenAI, Oracle, and SoftBank.
• Sam Altman responded with strong rebuttals, inviting Musk to see the project's construction site.
• President Trump downplayed the feud, attributing Musk's skepticism to personal animosity towards Altman.
• The Stargate initiative, valued at $500 billion, aims to enhance AI infrastructure in the U.S. and create jobs.
• This public conflict highlights the ongoing rivalry between Musk's xAI and Altman's OpenAI, impacting their business interests.

The ongoing public feud between tech titans Sam Altman and Elon Musk reached a boiling point this week following President Donald Trump’s announcement of the ambitious Stargate project. Set to invest up to $500 billion into AI infrastructure in the United States, this initiative has increased tensions due to Musk's vocal skepticism regarding the financial backing of the participating companies.

Immediately following the announcement, Musk took to social media platform X (formerly Twitter) to express doubts about the funding, claiming, "They don’t actually have the money" and specifically citing SoftBank's lack of financial commitment by stating they had "well under $10 billion secured." Musk's remarks aimed at undermining the credibility of the venture, which was inaugurated with much fanfare alongside Altman at the White House according to The Hill.

In response, Altman initially offered a diplomatic comment praising Musk, but quickly transitioned to a more confrontational tone, refuting Musk's claims and stating, "Wrong, as you surely know," and inviting him to visit the first construction site already underway in Texas. He added, "this is great for the country. I realize what is great for the country isn’t always what’s optimal for your companies, but in your new role I hope you’ll mostly put America first," according to Business Insider.

Trump, during subsequent press interactions, downplayed Musk’s skepticism, framing it as a personal feud, implying Musk's criticism is born from animosity towards Altman, stating, "He hates one of the people in the deal." Regardless of Musk's comments, Trump maintained confidence in the project's potential, assuring that it is funded by "very rich people." Aiming to bolster public assurance, White House press secretary Karoline Leavitt affirmed, "the American people should take President Trump and those CEOs’ words for it,” as reported by The Hill.

The Stargate initiative’s announcement marks another chapter in the rivalry between these two tech giants, both of whom were co-founders of OpenAI in 2015. Over the years, their relationship has soured dramatically, culminating in Musk's departure from OpenAI and subsequent litigation against the company accusing it of abandoning its nonprofit roots in favor of commercialization. As observed by analysts, the ongoing tensions could impact the operational dynamics of their respective companies and the broader AI landscape.

For further updates on this unfolding situation and deeper insights into the implications of their rivalry, visit Forbes.