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PratapDarpan > Blog > Tech Hub > Elon Musk wanted a break in the openi deal in the Middle East, but their efforts failed
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Elon Musk wanted a break in the openi deal in the Middle East, but their efforts failed

PratapDarpan
Last updated: 29 May 2025 10:16
PratapDarpan
4 weeks ago
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Elon Musk wanted a break in the openi deal in the Middle East, but their efforts failed
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Elon Musk wanted a break in the openi deal in the Middle East, but their efforts failedElon Musk allegedly tried to block Openai from acquiring the deal in the Middle East until her own AI Company, XE was included. However, he failed.In short

Elon Musk wanted a break in the openi deal in the Middle East, but their efforts failed

Elon Musk allegedly tried to block Openai from acquiring the deal in the Middle East until her own AI Company, XE was included. However, he failed.

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Elon Musk wanted a break in the openi deal in the Middle East, but their efforts failed
Pictures: Reuters/ Brian Sineider
Nandini Yadav
Nandini Yadav
New Delhi,Update: May 29, 2025 10:19 IST

In short

  • Elon Musk allegedly wanted to stop Openi Deal in the Middle East
  • He clearly stated that the deal cannot be done until XAI is included
  • Musk’s efforts failed

Elon Musk allegedly tried to block Openai by achieving a high-profile Artificial Intelligence Infrastructure Deal in the Middle East, until his own AI company, Zai did not include-but his efforts did not fail. The deal, declared last week, includes OpenAII and several American tech companies, partnered with Emerati AI Company, G42 to create a large -scale data center complex in Abu Dhabi. The feature, which will be part of a major initiative called Stargate UAE (under Project Stargate announced in January this year), is expected to be one of the world’s largest AI computing hubs. These hubs have servers powered by advanced chips from companies such as Nvidia and operated by Oracle, Cisco and SoftBank.

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According to a report by The Wall Street JournalEarlier this month, Mask caught the air of the openi deal by US President Donald Trump’s visit to the Gulf. Knowing that OpenAII CEO Sam Altman would be part of the journey and a deal was being finalized in the UAE, Musk allegedly became bizarre and demanded his firm to join the project.

Allegedly, in a call with G42 officials, UAE’s National Security Advisor Sheikh Tahun Bin Zayed, the President of the country, allegedly warned that Trump had approved any such deal until XE had seated the table.

Despite the pressure, the deal proceeded without the participation of the Musk. White House officials reviewed the agreement after Musk’s intervention, but eventually allowed it to proceed to the plan. An official told Musk’s anxiety about “fairness for all AI companies”, although others noted that his long -running rivalry with Altman could have played a role.

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Musk and Altman co-establish Openai in 2015. However, in 2018, Musk participated and left. Apparently there was a power struggle, which was allegedly to merge Openai and Tesla due to a proposal by Musk. According to the biography of Walter Isakson of Elon Musk, the idea was rejected by the members of the Altman and other boards. After that, the Musk went away, and Altman took over the reins as CEO. Since then, Musk and Altman have been constantly forward and back. Musk has also sued Open and Altman to cheat the company’s original mission-which was to build an open-source AI model without any profit.

Meanwhile, a few years ago, Musk launched its own AI venture, XE, which has struggled to match Openai’s success despite raising $ 6 billion in participation in the Gulf region, including its recent tunnel-building deal between its boring company and Dubai, to match Openai’s success despite raising $ 6 billion in participation in the Gulf region.

Under the Stargate UAE project, G42 and its partners will fund a large-scale data complex in Abu Dhabi, investing equivalent to the US-based AI facilities. The first phase of this system will be reportedly live next year.

Musk’s annoyance to make the openi and UAE deal reflected their earlier disappointment when Trump and Altman unveiled the original Stargate project in the US earlier this year. The project is an ambitious $ 500 billion AI investment initiative, also supported by Oracle, SoftBank and Nvidia. At that time, Musk criticized the supporters of the deal and questioned his financial credibility on social media.

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