Musk Slams Trump-backed AI Mega Project

 Elon Musk, right, and Google CEO Sundar Pichai arrive before the 60th Presidential Inauguration in the Rotunda of the US Capitol in Washington, Monday, Jan. 20, 2025. (AP)
Elon Musk, right, and Google CEO Sundar Pichai arrive before the 60th Presidential Inauguration in the Rotunda of the US Capitol in Washington, Monday, Jan. 20, 2025. (AP)
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Musk Slams Trump-backed AI Mega Project

 Elon Musk, right, and Google CEO Sundar Pichai arrive before the 60th Presidential Inauguration in the Rotunda of the US Capitol in Washington, Monday, Jan. 20, 2025. (AP)
Elon Musk, right, and Google CEO Sundar Pichai arrive before the 60th Presidential Inauguration in the Rotunda of the US Capitol in Washington, Monday, Jan. 20, 2025. (AP)

Elon Musk on Wednesday cast doubt on a $500 billion AI project announced by US President Donald Trump, saying the money promised for the investment actually wasn't there.

The comments were a rare instance of a split between the world's richest man and Trump, with Musk playing a key role in the newly installed administration after spending $270 million on the election campaign.

In his first full day in the White House, Trump on Tuesday announced a major investment to build infrastructure for artificial intelligence led by Japanese giant SoftBank and ChatGPT-maker OpenAI.

Trump said the venture, called Stargate, "will invest $500 billion, at least, in AI infrastructure in the United States."

But in a post on his social media platform X, Musk said the main investors "don't actually have the money."

"SoftBank has well under $10B secured. I have that on good authority," Musk added in a subsequent post.

Musk's sideswipe could be particularly targeted at OpenAI, the world's leading AI startup that Musk helped found, before leaving in 2018.

The Tesla boss and OpenAI chief executive Sam Altman, who was present at the White House on Tuesday, have been mired in a serious feud, with Musk opening repeated lawsuits against the company behind ChatGPT.

OpenAI is one of the world's highest valued startups, but loses money on the high costs of turning out its expensive technology.

According to the Wall Street Journal, cloud giant Oracle, which is also involved, has about $11 billion in cash and securities. SoftBank has roughly $30 billion of cash on hand.

The Stargate project is committed to investing an initial $100 billion and up to $500 billion over the next four years in the project.



Google Adds SandboxAQ's Quantitative AI Models to Cloud Offerings

The logo of Google is seen outside Google Bay View facilities during the Made by Google event in Mountain View, California, US August 13, 2024. REUTERS/Manuel Orbegozo/File photo
The logo of Google is seen outside Google Bay View facilities during the Made by Google event in Mountain View, California, US August 13, 2024. REUTERS/Manuel Orbegozo/File photo
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Google Adds SandboxAQ's Quantitative AI Models to Cloud Offerings

The logo of Google is seen outside Google Bay View facilities during the Made by Google event in Mountain View, California, US August 13, 2024. REUTERS/Manuel Orbegozo/File photo
The logo of Google is seen outside Google Bay View facilities during the Made by Google event in Mountain View, California, US August 13, 2024. REUTERS/Manuel Orbegozo/File photo

Quantum startup SandboxAQ said its large quantitative models (LQMs) will be available on Google Cloud, the company told Reuters on Tuesday, as cloud providers look to AI tech to fuel growth.

LQMs are designed to handle large-scale numerical datasets, perform complex calculations and statistical analysis, and can be used to develop sophisticated financial models or to automate trading strategies.

The partnership will make it easier for enterprises to use Google Cloud to develop its LQMs and deploy them, allowing Sandbox, a firm spun off from Google-parent Alphabet in 2022, to expand the distribution of its platform to a larger pool of potential customers.

"More than 80% of the economy is run by math and quantitative relationships. And that's where quantitative AI really shines, and it's very complementary to language models," CEO SandboxAQ, Jack Hidary said.

This is the first time Sandbox will have its models available on a third-party platform.

The Palo Alto-based startup secured $300 million in a funding round last month, boosting its valuation to $5.6 billion and was backed by investor firms including Fred Alger Management, T. Rowe Price, and Breyer Capital.

SandboxAQ said its models are used in sectors such as life sciences, financial services and navigation.

Google has been intensifying its efforts in quantum computing and announced in December that it had made significant progress by developing a new generation of quantum chips, overcoming a major challenge in the field.

Microsoft also touted the potential of quantum computing earlier this month and unveiled its "Quantum Ready program", while Nvidia's CEO Jensen Huang said the technology's practical use was likely two decades away.