500 billion "Stargate"? Musk: OpenAI has no money, and SoftBank is also less than 10 billion dollars

OpenAI announced the deployment of $100 billion for the "Stargate" project, with Musk retweeting and commenting, "They actually have no money."

On Wednesday local time, following Trump's overnight announcement of the "Stargate" project, OpenAI officially "claimed" it, stating that the first round of investment of $100 billion will "immediately begin deployment," and provided detailed explanations regarding the organizational structure and cooperation goals of the merged entity.

According to a previous announcement, the initial investment amount for "Stargate" is $100 billion, expected to increase to $500 billion over the next four years, and is projected to create 100,000 jobs in the United States.

According to OpenAI, after OpenAI, SoftBank, Oracle, and the sovereign fund MGX established the joint venture Stargate, SoftBank and OpenAI will be the main partners of Stargate, with Masayoshi Son serving as chairman, SoftBank taking on financial responsibilities, and OpenAI handling operational responsibilities.

In addition, Arm, Microsoft, NVIDIA, Oracle, and OpenAI are the main initial technology partners, with Oracle, NVIDIA, and OpenAI collaborating to build and operate computing systems.

OpenAI stated that the expansion of the first AI data centers located in Texas is underway:

"After finalizing the agreements, we are assessing potential locations for more campuses nationwide."

High Costs, Capacity Shortages... Concerns Over the "Stargate" Project

Despite the various plans for the "Stargate" project sounding grand, the project has faced a lot of skepticism.

After OpenAI's official post, Musk commented on the tweet, stating that the project actually cannot come up with that much funding:

"They actually have no money."

"I have reliable information that SoftBank's financing guarantee amount is far below $10 billion."

In another tweet, Musk also agreed with the comment that "OpenAI and Microsoft are done," stating:

"It does seem so."

Many users also questioned the feasibility and rationality of the project, with their main concerns being: whether the investors can afford to put in that much money, whether chip production capacity can keep up, and whether OpenAI's status as a "non-profit organization" supports its participation in the project, etc.

According to previous media reports, OpenAI's losses in 2024 could reach $5 billion, and it is expected that losses will further rise to $14 billion by 2026, primarily due to the high costs associated with training large language models