Sam Altman vs Musk, orbital data centers, and Nvidia's China gamble
OpenAI's drama escalates as Google and SpaceX eye space-based AI compute.
The biggest story this week is the escalating OpenAI-Elon Musk feud. Sam Altman alleged that Musk initially demanded 90% equity in OpenAI, wanted control to pass to his children upon his death, and twice tried to kill the nonprofit structure. Musk's motivations are under scrutiny as the legal battle intensifies, with implications for AI governance.
In parallel, Google and SpaceX are in talks to launch data centers into orbit under Project Suncatcher, aiming for a first launch in 2027. Anthropic has also discussed orbital data centers with SpaceX. The move could reduce latency and energy costs, though hurdles remain. Meanwhile, Nvidia's Jensen Huang has joined Donald Trump's high-stakes mission to China, lobbying to sell AI chips despite geopolitical tensions.
Other notable AI developments: Anduril's valuation doubled to $60B in a $5B funding round led by Thrive Capital and a16z, signaling defense tech's AI boom. Meta employees are protesting computer-tracking for AI training, posting flyers urging opposition. OpenAI is facing a wrongful death lawsuit over ChatGPT's medical advice allegedly leading to a teenager's overdose. Canvas learning platform paid hackers to delete stolen student data in the largest edtech breach. And scientific researchers are rethinking AI usage due to price hikes, limitations, and unreliable outputs.
- Sam Altman claims Elon Musk wanted 90% equity and control over OpenAI, twice trying to kill its nonprofit status.
- Google and SpaceX are collaborating on orbital data centers for AI compute, with first launch slated for early 2027.
- Nvidia CEO Jensen Huang joins Trump's China mission to push AI chip sales despite trade tensions.
Why It Matters
These stories highlight the power struggles, infrastructure bets, and ethical battles shaping AI's global future.