Despite previously warning about the dangers of advanced Artificial Intelligence (AI) and robotics, Tesla Inc. CEO Elon Musk has invested in several AI startups following a stark warning from DeepMind's co-founder, Demis Hassabis.
What Happened: In an interview with CNBC in July 2017, Musk had expressed concerns about the existential risks posed by AI to human civilization back in 2017. He had forecasted significant job disruptions, with transportation roles among the first to be fully automated.
Musk, well-versed in advanced AI, called for proactive regulation, warning that waiting for serious incidents, like robot-caused harm, would be too late to act effectively. “AI is a fundamental existential risk for human civilization,” cautioned Musk.
However, it is ironic because by 2017, Elon Musk was already an early-stage investor who pumped millions into several AI startups like DeepMind, OpenAI, and Vicarious.
A 2023 New York Times report reveals that Musk decided to invest in AI firms despite his reservations after DeepMind’s co-founder Hassabis told him in 2012 that Musk’s plans to colonize Mars would work only if “superintelligent machines” didn’t follow human beings on their trip to the planet.
According to the publication, “Mr. Musk was speechless” and invested in DeepMind soon after alongside Peter Thiel, to ‘be closer’ to the advancements of AI.
DeepMind was later acquired by Alphabet Inc.’s (NASDAQ:GOOG) (NASDAQ:GOOGL) Google in 2014 for $500 million, despite Musk putting in a bid to buy it.
In 2014, Elon Musk told CNBC that his investments are “not from the standpoint of actually trying to make any investment return. I like to just keep an eye on what's going on."
He also stated he was wary of a Terminator-like outcome.
Why It Matters: Despite his warnings, Musk launched his own AI startup, xAI, and unveiled its new chatbot, Grok, in March and November 2023, respectively.
In March 2025, he predicted in an interview that AI could outperform humans cognitively in a decade. He also highlighted the potential for a higher standard of living due to AI, but cautioned about the risks.
Recently, Musk praised Google DeepMind’s Veo 3 AI video model, calling it “awesome.” This tool generates high-resolution visuals and realistic audio, demonstrating the rapid progress of AI technology.
However, OpenAI’s Sam Altman echoed the sentiment and thought it’s better to actively participate in the field rather than do nothing.
“I sleep better knowing I can have some influence now,” Altman said.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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