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Elon Musk’s Criticism of Trump’s AI Mega-Deal Sparks GOP Tensions

Elon Musk’s public criticism of Trump’s $500B AI mega-deal has sparked backlash among GOP insiders, fueling tensions within the administration.

Elon Musk arrives to speak at an indoor Presidential Inauguration parade event in Washington on Monday. | Jamie Kelter Davis for POLITICO

Elon Musk’s recent public criticism of President Donald Trump’s $500 billion AI mega-deal, dubbed “Stargate,” has triggered backlash from key Trump aides and allies. Musk, a senior adviser to the administration and head of the so-called Department of Government Efficiency, unleashed a series of scathing remarks about the project, questioning its funding sources and dismissing it as poorly conceived.

GOP Allies Slam Musk

White House insiders and Trump allies were quick to condemn Musk’s behavior. One official described Musk’s comments as “over the line,” while another ally accused him of abusing his proximity to the president. The criticism has raised speculation within Republican circles about whether Musk’s relationship with Trump is beginning to fracture.

“The problem is the president doesn’t have leverage over him, and Elon gives zero [expletive],” a Republican close to the White House remarked.

Musk’s Criticisms and Industry Rivalries

Musk, who co-founded OpenAI but has since distanced himself from its CEO, Sam Altman, used his massive social media following to mock the deal. He claimed that OpenAI, Softbank, and Oracle, the private firms involved, lack the funding to deliver on their commitments. Musk even joked that Altman’s team “smoked crack” to arrive at the project’s $500 billion price tag.

Altman responded sharply, emphasizing the importance of the project for national interests, tweeting: “What’s great for the country isn’t always what’s optimal for your companies, but in your new role, I hope you’ll mostly put 🇺🇸 first.”

Trump’s Reaction

Despite the controversy, Trump appeared unfazed by Musk’s critique. “No, it doesn’t [bother me],” the president told reporters, adding that Musk’s objections likely stemmed from personal animosity toward Altman. Trump doubled down on his praise for the private investors backing the project, emphasizing their wealth and commitment to the initiative.

White House Press Secretary Karoline Leavitt defended the administration’s plan, urging Americans to trust Trump’s leadership and the credibility of the participating CEOs.

Calls for Action

The escalating tensions have led some Trump allies, including Steve Bannon, to call for intervention. Bannon urged campaign manager Susie Wiles to “sit [Musk] down” and resolve the dispute immediately.

Implications for the Administration

Musk’s criticism highlights potential cracks in the Trump administration’s usually united front. With the Stargate project positioned as a cornerstone of Trump’s economic and technological agenda, Musk’s dissent could complicate its rollout and weaken investor confidence.

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