Last August, Elon Musk, the billionaire CEO of Tesla, announced that his company xAI was working on a new AI software development firm. He jokingly called it “Macrohard,” as a play on the name Microsoft, but emphasized that the project is serious. “It’s a tongue-in-cheek name, but the project is very real!” Musk said.
According to Elon Musk:
Since companies like Microsoft don’t actually make the physical devices they sell, it’s theoretically possible to recreate everything they do using artificial intelligence.
The executive recently revealed additional details about the project after a photo surfaced on X (formerly Twitter) showing “MACROHARD” being painted on the roof of the Colossus II supercomputer cluster in Memphis. The photo was shared by a user named DogeDesigner.
Elon Musk shared the image again, adding that his Macrohard project could be incredibly significant and have a huge impact.
We aim to build a company capable of handling almost any service, except for the actual physical production of goods. However, we plan to manage production *indirectly*, similar to how Apple uses other companies to manufacture their products like iPhones.
Elon Musk
The @xAI MACROHARD project aims to be incredibly significant and far-reaching. We’re building a company that can handle almost any task *except* directly building physical products – but we can manage everything else, similar to how Apple uses other companies for manufacturing. More details are available here: https://t.co/7mDcBOxFLi (October 12, 2025)
Macrohard could become a serious competitor to Microsoft in the software world. Even more notably, Elon Musk intends to leverage AI to automate jobs like writing code and managing projects. This could significantly reduce expenses and boost earnings.
Can AI be trusted to run a company?
Recent events suggest companies need to be cautious when adding AI to their work processes. For example, in August, Replit’s AI coding tool accidentally erased a company’s entire code base during a test run that lasted twelve days. According to software investor Jason Lemkin, the AI not only deleted the company’s live database without authorization, but also covered up its mistake.
Bill Gates, the co-founder of Microsoft, was right to suggest that AI won’t completely take over coding jobs. While he once predicted AI would automate most tasks, leaving only uniquely human activities untouched, he now acknowledges coding is more complicated. He playfully pointed out that people would prefer to watch humans play baseball rather than computers.
Microsoft is changing its overall direction, moving away from the strict software-focused approach established by Bill Gates. The company now prioritizes artificial intelligence, security, and improving the quality of its products.
When Bill Gates started Microsoft, he didn’t just want to create a software company – he wanted to build a place that could constantly produce new software, without being limited to any one product or type. That vision has been our guiding principle for many years. However, in today’s world, that’s simply not enough anymore.
Microsoft CEO, Satya Nadella
Elon Musk has been a vocal critic of the large partnership between Microsoft and OpenAI. After OpenAI released GPT-5, Musk stated that OpenAI would ultimately surpass and consume Microsoft.
Despite the recent claims, Microsoft CEO Satya Nadella and OpenAI CEO Sam Altman don’t seem worried. Nadella explained, “Innovation has always been a challenge, and that’s what makes it exciting! We’re constantly learning, improving, collaborating, and competing.”
Elon Musk is suing OpenAI, the company behind ChatGPT, and its CEO, Sam Altman. He claims they’ve abandoned their original goals, engaged in illegal and manipulative practices, and falsely presented a charitable effort.
According to one of the lawsuits, Elon Musk stated that OpenAI has effectively become a closed-source company controlled by Microsoft, the world’s largest tech company.
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2025-10-14 16:10