Elon Musk tried to block an AI infrastructure deal in the UAE after learning his company xAI was excluded from the project, led by Sam Altman Elon Musk rival and other tech giants, to build a large AI campus.
Musk’s frustration is the by-product of his rivalry with OpenAI CEO, Sam Altman, whose company leads the Stargate AI project in partnership with firms like Oracle, Nvidia, Cisco. His interventions delayed the announcement of the deal and signaled increasing tensions in the fast-evolving AI industry.
Elon Musk and Sam Altman Clash Over Stargate AI Project
Last month, OpenAI, Oracle, Nvidia, Cisco, and Emirati company G42, revealed plans for the Stargate AI campus in the UAE, then shortly after, the AI drama unfolded with Musk trying to shrink this titan of an AI project after discovering that xAI, his company, was excluded, according to CNBC.
Elon Musk and Sam Altman relationship has worsened after OpenAI was chosen to lead the initiative, with rumors indicating that Musk urged to secure xAI’s position on board and went as far as threatening that President Donald Trump would not approve the deal.
Thanks to Musk’s interference, the news was postponed by several days while officials, even from the White House, managed the Altman Musk feud, according to The Wall Street Journal, Musk feverously attempted to trigger the deal.
In a CNBC statement, White House press secretary Karoline Leavitt praised the alliance but declined to comment on the controversy.
“The United States and the UAE signed a groundbreaking framework agreement establishing the first AI acceleration partnership,” Leavitt said.
“The framework supports the buildout of AI infrastructure between the United States and the UAE. This was another great deal for the American people, thanks to President Trump and his great team.”
Musk, Altman, Middle East
Musk was not in the UAE to sign the deal but accompanied President Trump ahead of the Middle East tour in Saudi Arabia, a senior White House official disclosed. Tech CEO had raised concerns regarding government fair treatment of AI companies, the official added.
OpenAI did not have a statement, and Musk did not return CNBC‘s calls for comment.
Sam Altman Elon Musk rivalry is not new news, especially that Musk has publicly criticized Altman and OpenAI in recent years. Musk was initially a close friend and co-founder of Altman at OpenAI but later departed and denounced the company’s relationship with Microsoft.
While xAI works on commercial projects, partnering with Telegram to launch the Grok chatbot, Musk has fought against OpenAI’s plan to become a for-profit company. He sued OpenAI for breach of contract and tried to buy the company for $97.4 billion earlier this year but failed.
The dispute over the Stargate project is an example of the larger clash between two of the most influential figures in the AI world. Elon Musk and Sam Altman are feuding over Stargate project, each pushing different approaches and ambitions for the future.
Altman Musk feud is not just about personal disputes between two CEOs, but more of a battle for leadership and control. As the Stargate AI campus moves forward without Musk’s involvement, it remains clear that this competition between tech CEOs will continue to influence the direction of AI innovation and global partnerships in the years ahead.
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